[Intl-tobacco] EU Files New Cigarette Smuggling Claim Despite U.S. Dismissal (fwd)

[Robert Weissman]

Sorry for the delay in sending this out -- obviously a very important
development.

-- 
Robert Weissman	<rob@essential.org>
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EU Files New Cigarette Smuggling Claim Despite U.S. Dismissal
by Adrian Cox
Source: Bloomberg News, Monday, 8/6/01

Brussels, Aug. 6 (Bloomberg) -- The European Commission filed a new
complaint against Philip Morris Cos. and R.J. Reynolds Tobacco Holdings
Inc. for cigarette smuggling even though a U.S. judge dismissed the case
last month.

U.S. District Judge Nicholas Garaufis ruled the commission was not injured
by alleged smuggling of cigarettes into the 15- nation European Union and
did not allow other EU members to sue. The commission said the case was
rejected on ``a single technical point of law related to its injury,'' and
that the court ``rejected in substance all other arguments'' by the
companies.

``Protecting the financial interests of the EU and fighting fraud remains
a top priority for the European Commission,'' EU Budget Commissioner
Michaele Schreyer said in a statement. ``The ruling delivered by the U.S.
court on July 17, 2001, contains many positive aspects, which have
encouraged us to pursue our legal case against cigarette smuggling.''

The commission sued in federal court in Brooklyn, New York, in November
2000, saying the tobacco companies conspired with drug dealers to cheat
the EU out of billions of dollars in customs duties, fees and taxes.

The commission, the EU's executive arm, filed the new case along with
Italy, Germany, France, Spain, Portugal, Greece, Belgium, the Netherlands,
Finland and Luxembourg.