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LAWSUITS NEWS & LEGAL INFORMATION

Cigarette Weight

Washington, DC: (Dec-04-07) The US Department of Justice brought charges against Premier Manufacturing, Inc., a South Carolina cigarette importer, alleging that between 1995 and 2002, it deliberately understated the weights of cigarettes that it imported. Sources claimed that since the amount of customs duties owed on imported cigarettes is based in part on their weight, Premier Manufacturing avoided millions of dollars in customs duties. Federal officials stated that under the False Claims Act, the United States is entitled to recover treble damages and penalties from those who knowingly submit false claims for payment to the government or who knowingly fail to pay money owed to the government.

As part of a settlement reached, Premier Manufacturing agreed to pay an additional $3.1 million to settle civil claims. The payout resolves charges under the False Claims Act and two customs statutes. [US DOJ: IMPORTED CIGARETTES]


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Published on Dec-5-07


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