Smoking Everywhere V. FDA Daily Docket Sheet Update--APPEAL's COURT ISSUES STAY

[careful_193]

Philip Morris USA Files Lawsuits to Stop the Sale of Counterfeit Cigarettes
Congress Takes up Legislation to Address Illegal Cigarette Trade
RICHMOND, VA (May 18, 2009) - Philip Morris USA filed lawsuits today against retailers selling counterfeit versions of the company’s Marlboro® brand cigarettes. PM USA conducts periodic marketplace purchases of cigarettes and found each of the named defendants selling counterfeit cigarettes during 2009.

PM USA continues to pursue counterfeit sellers in New York. Following last week's filing against Mastic, N.Y.-based Tammy's Smoke Shop, PM USA filed three lawsuits today against seven retailers in federal courts as follows:
Eastern District of New York
Ashley One Stop Deli

88 Stop & Go Newsstand

Prospect Park Deli
111-20 101 Avenue, Richmond Hill, NY 11419

106 21 71st Avenue, Forest Hills, NY 11375

155 Prospect Park SW, Brooklyn, NY 11218
Southern District of New York
336 Deli Grocery

Manhattan Tobacco & Grocery
336 Est. 106 Street, New York, NY 10029

881 9th Avenue, New York, NY 10019
District of New Jersey
Jaritza II Supermarket

New York Deli Grocery
1085 Summit Avenue, Jersey City, NJ 07307

1102 New York Avenue, Union City, NJ 07087

Increases in federal, state and local excise taxes have provided new incentives for tax evasion and other criminal activity related to cigarettes. In New Jersey, the average retail price for Marlboro® brand cigarettes is $7.25, of which $3.58 is excise taxes*. By comparison, the average retail price for Marlboro® brand cigarettes is $9.64 in New York City, of which $5.26 is excise taxes. The counterfeit cigarettes purchased from the retailers above bore no tax stamp or a counterfeit tax stamp. As a result, the applicable excise taxes were not paid.

“While the illegal cigarette trade in New York is becoming increasingly complex, Philip Morris USA remains committed to taking steps necessary to protect our brands and the legitimate cigarette trade,” said Joe Murillo, vice president and associate general counsel, Altria Client Services, speaking on behalf of PM USA.

PM USA pursues numerous strategies to address the sale of counterfeit, illegally imported, stolen and untaxed or under-taxed cigarettes. In addition to litigation, these include working closely with law enforcement authorities in New York to address the state’s continuing contraband cigarette trafficking problems and advocating for legislation with more stringent penalties for the violation of laws related to contraband trade in cigarettes. PM USA supports H.R. 1676, the Prevent All Cigarette Trafficking Act (the “PACT” Act), introduced by Congressman Anthony Weiner (D-NY), which is scheduled to be considered by the U.S. House of Representatives on Tuesday, May 19.

The PACT Act includes provisions designed to bring an end to tax-evading sales of cigarettes and smokeless tobacco products over the Internet and provides the Bureau of Alcohol, Tobacco, Firearms and Explosives – the key crime fighters in this area – with more resources and tools to accomplish this goal. These include creating six regional contraband cigarette trafficking teams, including one in New York City; a new national Tobacco Intelligence Center to monitor and coordinate illegal cigarette trafficking investigations in the United States; and a computer database that will track and analyze information from remote sellers of tobacco products.

“This latest round of counterfeit activity illustrates the need to provide law enforcement authorities with the tools they need to decisively address these problems,” Murillo said. “We strongly support the PACT Act and applaud the sponsors for recognizing the importance of this issue.”

Philip Morris USA is an operating company of Altria Group, Inc. (NYSE: MO).

*excise taxes include federal (FET), state (SET) and, where applicable, locality excise taxes



Press Contact
Philip Morris USA Media Relations
(804) 484-8897

Philip Morris USA assumes no obligation to update, correct or otherwise modify any of these communication materials. We recommend that you view the most recent press releases and statements in order to receive the most current information.


It seems to me Philip Morris was putting presser on the FDA. When it started this action customs started holding shipments didn't they?

I knew that would happen! E-cig suppliers better watch out for these Tobacco companies.. Suppliers need to stop using name brands for their nicotine flavors. I already have. I can see the lawsuits now-suppliers need to realize these brand names are owned and patented and protected! If suppliers think this FDA/Smoking Everywhere lawsuit is bad-wait until these tobacco companies have their say. I can't blame them though-I would be ticked if someone stole and copied my brand name too-The FDA WILL have to regulate the use of nicotine in E-CIGS, Nicotine is a drug-and the same regulations will have to be put on it-just like it is on every other nicotine product sold in the U.S.. What the E-cig companies need to do- is go through the process, like everyone else..Bureaucratic Red Tape....I will be glad when e-cigs can be marketed. Smokers need this as an alternative-and we all know it.

[halopunker]

I knew that would happen! E-cig suppliers better watch out for these Tobacco companies.. Suppliers need to stop using name brands for their nicotine flavors. I already have. I can see the lawsuits now-suppliers need to realize these brand names are owned and patented and protected! If suppliers think this FDA/Smoking Everywhere lawsuit is bad-wait until these tobacco companies have their say. I can't blame them though-I would be ticked if someone stole and copied my brand name too-The FDA WILL have to regulate the use of nicotine in E-CIGS, Nicotine is a drug-and the same regulations will have to be put on it-just like it is on every other nicotine product sold in the U.S.. What the E-cig companies need to do- is go through the process, like everyone else..Bureaucratic Red Tape....I will be glad when e-cigs can be marketed. Smokers need this as an alternative-and we all know it.

Agreed, if you think that they don't check your websites you are sadly mistaken. I know of one supplier who received a letter due to the 'Marlboro' tag. Funny thing was, it wasn't even the name of the item. The item was 'Tobacco Flavored' but, when you added the product to the cart...in the SKU, it said Marlboro.

[careful_193]

I also noticed, yesterday, that Ebay(for legal reasons)has banned the sale of all tobacco items, including e-cigs, unless they are a sealed collectors item. They have posted an alert to all Ebay sellers.-But they do allow the sale of other "FDA" approved smoking cessation items/devices.

[Surf Monkey]

It goes entirerly against our constitution to allow a federal bueacracy to pass regulations on something thats not even mentioned in our founding document.

Read up on civics, because this statement isn't even remotely accurate.

[martha1014]

If you can't beat join them. I think we need to get Philip Morris on our side. They should become a supplier just like all the others. They could label there e-cig and liquids with there own brand and eventually take over all the sales. This is what my son, the lawyer suggested. What do you think about this. After all they have the money to get an approval with the backing of FDA.

[STILLSMOK9]

if you can't beat join them. I think we need to get philip morris on our side. They should become a supplier just like all the others. They could label there e-cig and liquids with there own brand and eventually take over all the sales. This is what my son, the lawyer suggested. What do you think about this. After all they have the money to get an approval with the backing of fda.

cost to us is the issue!!

[Mac]

If you can't beat join them. I think we need to get Philip Morris on our side. They should become a supplier just like all the others. They could label there e-cig and liquids with there own brand and eventually take over all the sales. This is what my son, the lawyer suggested. What do you think about this. After all they have the money to get an approval with the backing of FDA.

There is alot of speculation around this forum that this has already happened. That phillip morris already has everything needed in place and is just waiting for the fda to regulate these So that they can use their bottomless pockets to do what none of the current suppliers can which is completely revamp the product and release it on a global scale through normal cigarette retail outlets.

I for one will not be returning to marlboro's if these are banned!

[CoderGuy]

There is alot of speculation around this forum that this has already happened. That phillip morris already has everything needed in place and is just waiting for the fda to regulate these So that they can use their bottomless pockets to do what none of the current suppliers can which is completely revamp the product and release it on a global scale through normal cigarette retail outlets.

I for one will not be returning to marlboro's if these are banned!

I agree, I refuse to go back to analogs and let big tobacco, the FDA, and state gov'ts get my money again for smoking if they try to force me back to it or try to get me to use their meaningless smoking cessation profit machines.

Guess I will switch to snus if they are banned (that's still legal right?)

CoderGuy

[sherid]

Just saying....no one FORCED you to smoke, and no one is going to FORCE you to buy e cigarettes from BT if they become the supplier. We all decided to start smoking even though we were well aware of the risks. Millions of people have quit smoking, so the decision to remain a smoker was not FORCED on anyone either.

[Mac]

Just saying....no one FORCED you to smoke, and no one is going to FORCE you to buy e cigarettes from BT if they become the supplier. We all decided to start smoking even though we were well aware of the risks. Millions of people have quit smoking, so the decision to remain a smoker was not FORCED on anyone either.

I agree but if the fda wins this case I will be "forced" into the unemployment line.