A 54-year-old man was arrested after several thousand packages of duty-free tobacco were found in his properties, police said early on Wednesday.
The man was arrested after officers discovered 2.462 packs of cigarettes, 6,000 pieces of heated tobacco products and 10 kilos of tobacco in his two Nicosia-based houses.
They also found €600 in cash and 41,100 Turkish lira in cash.
No taxes had been paid for any of the products, police said.
The suspect is being investigated for illegal possession and distribution of duty-free tobacco products.