Beverly Hills 2/21/2010 2:43:31 AM
News / Business

Federal Government Seeking $280 billion from Cigarette Makers

Finance World News Update by EQUITIES Magazine

Yesterday the federal government asked the U.S. Supreme Court to overturn portions of the ruling that found the tobacco industry had violated federal racketeering laws for deceiving the public about the dangers of smoking.

 

The appeal is part of an effort to revive its rejected attempt to force companies like Philip Morris and Lorillard Inc. to hand over up to $280 billion in profits and pay $10 billion for smoking-cessation programs.

 

The government’s appeal states that the earlier court ruling, which dismissed the fees, had misinterpreted the Racketeer Influence and Corrupt Organizations Act, or RICO.

 

In the meantime, Philip Morris filed an appeal the U.S. Supreme Court to overturn the entire ruling while R.J. Reynolds, another cigarette company, also filed an appeal.

 

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Since 1951, EQUITIES Magazine has been a leading media company providing business editorial content designed to serve the needs of business leaders, professionals, institutional investors and retail investors. We are focused on business and the business of making money, not on lifestyle subjects. We publish original reporting in print and on our website, as well as select content at www.nasdaq.com. For 28 years we have hosted our own branded investor conferences that connect public company CEO’s with our loyal readers in the investment community.

 

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