A large amount of contraband tobacco products totaling more than 306 kilograms has been seized by the Alberta Gaming and Liquor Commission.

The AGLC estimates more than $116,000 in potential tax revenue has been lost.

Contraband cigarettes, flavoured cigars and shisha tobacco, a flavoured product smoked in a hookah, were discovered when a search warrant was executed at Alex's Convenience Store in Edmonton in January.

Two men face criminal charges of fraud over $5,000 and trafficking in contraband tobacco. Under the provincial Tobacco Tax Act, the two face charges for possession of more than 1,000 grams of tobacco.

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Flavoured tobacco products were part of the seizure. (AGLC)

They are scheduled to appear in Provincial Court on March 16.

Contraband tobacco is a product that doesn't adhere to provincial and federal laws that involve importation, package marking, manufacturing, and the payment of duties and taxes.

Contraband can be recognized by the absence of a red (Alberta) or a peach/light tan (Canada) stamp that says "Duty Paid Canada Droit Acquitte" on the packaging.

Provincial revenue from tobacco taxes was $940 million in 2014-15.