New York sues FedEx for delivering cigarettes from Indian firms
Posted: Tuesday, April 1, 2014
New York Attorney General Eric Schneiderman
filed suit against FedEx
, accusing the shipping giant of violating state and federal law by delivering cigarettes from smoke shops in Indian Country.
Schneiderman claims FedEx owes $70 million for shipping 80 million contraband cigarettes to consumers in the state. He said the tobacco came from four businesses -- including Native Made Tobacco, based on the Agua Caliente Reservation
in California, and Shinnecock Smoke Shop, based on the Shinnecock Nation
in New York.
"FedEx’s blatant disregard for its long-standing agreement with New York, as well as federal and state law, enabled tens of millions of cheap, untaxed cigarettes to be shipped to New Yorkers,” Schneiderman said in a press release
The complaint accuses FedEx of violating the federal Contraband Cigarette Trafficking Act and the Prevent All Cigarette Trafficking Act
, in addition to state laws.
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(Hearst Newspapers 3/30)
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