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• Alberta passes bill to recoup health costs from criminals, big tobacco 

Alberta has passed legislation allowing the province to sue criminals and tobacco companies to recover health-care costs.

Bill 48, called the Crown's Right Recovery Act, passed on Wednesday.

Once the bill is proclaimed law, Alberta could file lawsuits against drunk drivers and those convicted of violent crimes to recover any health-care costs related to their crimes.

Alberta could also sue tobacco makers or join existing lawsuits to recover health-care costs for tobacco-related illnesses. Ontario has already launched a $50 billion lawsuit while Quebec is looking to recover $30 billion.

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• Arguments begin in 'light' cigarette appeal 

If an attempt at certifying a class-action lawsuit over light tobacco products goes up in smoke at the Supreme Court of Appeal, it will not only hurt smokers and ex-smokers, but could affect all consumers.

An appeal court panel of justices - Margaret Cameron, Gail Welsh and Charles White - began hearing the case Wednesday and it continues today.

Lawyer Ches Crosbie is challenging a decision by the Supreme Court of Newfoundland and Labrador which said the class action couldn't be certified because consumers didn't buy their "light" and "mild" tobacco products directly from Imperial Tobacco Canada Ltd.

Crosbie is accusing the company - which has the largest tobacco sales in this province - of violating provincial trade practices legislation.

Rob Cunningham, an Ottawa lawyer for the Canadian Cancer Society who is observing the case, said if the certification doesn't go ahead, it will set a precedent for many consumer products, which are not commonly bought from their manufacturer.

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• CORCORAN: Ottawa's fruit-flavoured tobacco bomb 

The result was Bill C-32, officially titled The Cracking Down on Tobacco Marketing Aimed at Youth Act -- a misnomer if ever there was one. Today, a year later, what Mr. Harper's Conservatives have delivered instead is an over-the-top law that threatens a global trade war and another bonanza for Canada's already out-of-control contraband cigarette market.

The trade-war potential gathered momentum earlier this month when, according to Inside US Trade, the United States joined Argentina, Mexico, Switzerland, the European Union and other nations in opposition to Ottawa's new anti-bubble-gum tobacco law. At a meeting in Geneva, the nations said Canada's law would restrict trade in regular tobacco products to the benefit of Canadian tobacco producers.

The more immediate impact of the law, however, is a ban on the sale in Canada of virtually all brands of U.S. cigarettes. Guess where that leads? The logical result of a ban on legal imports of Marlboros and Winstons is new demand for illegal supplies through the burgeoning Native-dominated contraband market, a tax-evading multi-billion-dollar industry that already accounts for between 33% to 50% of the Canadian cigarette market. . . .

While this may look like another case of unintended consequences run amok, it more likely is part of deliberate scheming by Health Canada officials and others who are consciously using fruit-flavoured smokes to create a global tobacco trade bomb against the U.S. and tobacco industries in Europe, South America and Asia. . . .

Still, Bill C-32 became law, even though Senator Segal abstained over the trade issue. As a result, Mr. Harper's opportunistic election gimmick, aimed at curbing the use of flavoured tobacco to children, will do nothing to protect children. By further enhancing the power and scope of the contraband market, it will only increase the supply of illegal cigarettes, a prime source of tobacco to the young. At the same time, the government has launched a protectionist scheme that threatens a trade conflict.

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• 'Light' cigarette case going back to court 

The application for certification was filed by Ches Crosbie on behalf of Victor Todd Sparkes - the class action's representative plaintiff - against Imperial Tobacco Canada Ltd., Imperial Tobacco Company Ltd. and the Attorney General of Canada.

Sparkes' lawyers claimed the tobacco companies descriptions of "light" and "mild" as well as other descriptive terms were part of a deliberate misinformation campaign by the tobacco manufacturer to mislead and deceive the public into thinking the use of such products would have less harmful effects than smoking "regular" cigarettes.

But Supreme Court of Newfoundland and Labrador Justice James Adams said in 2008 the plaintiff failed to establish a cause of action under the federal Trade Practices Act. Adams denied the certification on the basis consumer Victor Sparkes did not buy the cigarettes directly from Imperial Tobacco. But the matter is being heard again by the Court of Appeal Wednesday and Thursday.

Crosbie argues people can't buy cigarettes directly from the supplier.

Lewis originally joined the class action because it sounded like his life story.

"We were blindsided. We were misled and taken advantage of. ... At the end of the day, I wanted to quit. I thought the switch to light cigarettes was going to help me take that edge off from smoking regular cigarettes," Lewis said.

"So they had me. I couldn't win."

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• EDITORIAL: Illegal cigarettes can't be ignored  

It is in society's obvious interest, then, to crack down on the rampant trade in contraband cigarettes. And, in fairness, some efforts have been made. Brennan and Benzie report that a law enforcement trial project, in which U.S. and Canadian officers worked side by side this summer on Canadian Coast Guard vessels, led to more efficient cross-border patrolling. Such joint operations should become permanent.

Other ideas include restricting raw materials for large-scale cigarette-making to those with a valid manufacturers' licence and working with native groups to bring about a First Nations tobacco tax equal to the province's. It might also help if government did more work to promote alternate – and legitimate – economic pursuits in First Nations reserves, thereby easing dependence on illegal activities.

The illicit tobacco trade didn't appear overnight, and it won't be easily eliminated. But more could surely be done to stanch this dirty business, to protect both government revenues and public health.

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• Black-market smokes bankroll mobsters  

Some of the money earned from the sale of black market smokes is fuelling firearm and drug smuggling efforts by organized criminal groups, an expert says.

About $2 billion in tax revenue goes up in smoke as a result of the sale of illegal smokes, according to a report by the Canadian Tobacco Manufacturers Council. About 13 billion illegal cigarettes are sold in Canada a year.

"People think selling contraband cigarettes is a victimless crime and no one gets hurt. Yes, it deprives us of tax dollars, but it is money that is pumped back into organized crime," said Gary Grant, a former Toronto cop, who heads of the National Coalition Against Contraband Tobacco.

"Organized criminals are lining their pockets with sales from illegal cigarettes to traffic their weapons and drugs," he added yesterday. . . .

Community groups, retailers, business organizations and health groups are all calling for government action, said Benjamin Kemball, president of Imperial Tobacco Canada.

"It is not every day that you get tobacco companies and health groups asking for the same thing. When you do it is time to listen," Kemball said in a release.

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• $2 billion in tax revenue up in smoke 

One in two cigarettes smoked in Ontario is illegal, robbing provincial and federal coffers of more than $2 billion a year and raising concerns about children gaining easy access to tobacco.

"There's absolutely no doubt that there's an incredible amount of revenue lost both in the province of Ontario and Quebec and to the federal government as well," provincial Community Safety Minister Rick Bartolucci said in an interview.

A study for the Canadian Tobacco Manufacturers' Council found that illegal cigarette purchases in Ontario have climbed to 48.6 per cent, followed by Quebec with 40.1 per cent. . . .

Originating on First Nations reserves, the contraband smokes are readily available in most towns and cities.

"People have to understand the severity of buying, of making ... and what damage it does do," said Bartolucci.

But how do we know? Enter the squad of "butt pickers."

In a separate investigation last month, the National Coalition Against Contraband Tobacco collected by hand 19,770 cigarette butts near 110 high schools, and discovered 30 per cent were illegal.

The coalition, which was launched by the Canadian Convenience Stores Association, whose members lose an average of $115,000 in sales annually due to illegal cigarettes, analyzed 14,064 butts from 75 Quebec high schools and concluded 45 per cent were contraband.

Because each legal cigarette has a distinctive marking on the filter, investigators are able to pinpoint hot spots for untaxed and unregulated smokes.

Ontario and Quebec represent about 95 per cent of illegal tobacco sales in Canada, and about 33 per cent of cigarettes sold in Canada are contraband, according to the manufacturers' council study. . . .

The major source of that supply is the Akwesasne native reserve that straddles Ontario, Quebec and the State of New York. Ten cigarette manufacturing plants on the U.S. side pump out billions of cigarettes annually.

"We know that perhaps 95 per cent of the contraband in Canada originates in illegal operations located on four First Nations reserves, the most important of which by far is the U.S. side of Akwesasne near Cornwall, Ont. There is also Kahnawake near Montreal, Tyendinaga near Belleville, and Six Nations near Brantford," said Cunningham.

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• VIDEO: RCMP plays cat-and-mouse with cigarette smugglers  

"Because the smugglers are operating on the water with no lights, we've had a guy killed on a Sea-Doo when he hit a boat going north with cigarettes and he was coming south with marijuana. It's crazy," said Sgt. Michael Harvey, spokesman for the RCMP Cornwall detachment.

The water highway between Akwesasne Mohawk territory and Cornwall is the main source of cheap, illegal cigarettes entering Canada.

The cigarettes are turning up from coast to coast, in big cities and small towns alike. As much as 50 per cent of the smoke filling Canadian lungs comes from smuggled cigarettes, according to one study.

As smuggling goes, Akwesasne is in a unique position: the reserve is on both sides of the U.S.-Canada border. Its territory straddles not only Quebec and Ontario, but also New York state – where the cigarettes are produced.

From her perch overlooking the St. Lawrence River, motel manager Susan Denneny sees and hears the nightly water traffic.

She recalls watching early one August morning as a small armada of open boats unloaded cigarettes into several waiting vans.

"I'm not going to call the cops. I smoke them," says Denneny, who manages the Monte Carlo Motel located on Montreal Rd., which runs along the river.

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• Women smokers unaware of smoking impact  

Most women smokers know smoking can lead to cancer, heart disease and premature death but they are unaware of other health effects, a Canadian survey indicates.

The survey, conducted by Angus Reid on behalf of nicotine replacement therapy brands Nicoderm and Nicoette, reveals the majority of Canadian women who smoke are not necessarily aware of the host of other effects smoking can have on their immediate and longer-term health.

Eighty-three percent of female smokers say lung cancer was most strongly attributed to smoking, 62 percent say premature aging of skin, 61 percent say dental problems such as yellowing of teeth or tooth loss and 60 percent say heart disease.

Fewer than two in 10 female smokers surveyed were aware of the link between lighting up and increased risks of developing health issues such as infertility, early onset of menopause, menstrual irregularities, osteoporosis, baldness, premature grey hair, weight gain, hearing loss and incontinence.

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• Apartment building going smoke-free  

Russell Chandler has smoked for more than 50 years, but he is willing to curb his habit to be more neighbourly.

He is one of approximately 90 tenants of the South Chatham Village Apartments who will have to adapt to a smoking ban coming effect at the apartment complex, Jan 1, 2010.

"There's no hard feelings that they're doing that," Chandler said.

Martin Vanderzwan, chairman of the apartment's board of directors, said the smoking ban has been motivated by reducing the risk of fire and reducing the known health effects of secondhand smoke.

He said most of the residents responded to a survey on implementing the ban.

"It was almost unanimous that we should have a nonsmoking policy," Vanderzwan said.

There are 67 units in the building, including seven or eight units occupied by smokers, he said.

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• Provinces Lose Bid to Set Deadline for JTI Tobacco Health Suits  

A deadline for lawsuits seeking to recoup smokers’ health-care costs from a Japan Tobacco Inc. unit that had been sought by British Columbia, Ontario and New Brunswick was rejected by a judge for coming prematurely.

The Canadian provinces want their claims for treating people with smoking-related illnesses included among those of creditors for Japan Tobacco’s insolvent JTI-MacDonald unit. The provinces said they feared nothing would remain if JTI settled a federal lawsuit that seeks to recover lost taxes from cigarette smuggling in the 1990s.

Ontario Superior Court Judge Peter Cumming called the request premature in an Oct. 30 ruling. The provinces may challenge the company’s plan to exit bankruptcy when it is submitted, the judge said.

“There is no plan of arrangement being put forth or even seen at this point on the distant horizon,” Cumming wrote.

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• Tobacco groups ask Obama to challenge Canadian ban 

Philip Morris International joined with U.S. tobacco industry groups on Thursday to ask President Barack Obama's administration to challenge Canada's new law banning flavored cigarettes and small cigars.

Their request comes even as the administration takes its own steps to ban candy, clove and other flavored cigarettes.

"Canada's ban on blended cigarettes violates its WTO (World Trade Organization) obligations and could impose serious economic hardship on U.S. growers of burley tobacco," Roger Quarles, president of the Burley Tobacco Growers Cooperative Association, said in a statement.

"We are asking USTR (U.S. Trade Representative) to review our arguments and to take a strong stand for U.S. burley growers and American jobs," he said.

Philip Morris, which markets its tobacco products in approximately 160 countries, joined the burley growers and several other tobacco associations in asking USTR to press Canada on the issue at a WTO meeting on "technical" trade barriers next week in Geneva.

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• Quebec to crack down on contraband tobacco 

The Quebec government on Wednesday unveiled a push to stop trade in illicit cigarettes, including stiffer fines and a moratorium on manufacturing permits.

The bill, introduced by provincial Revenue Minister Robert Dutil also gives more power to police, notably municipal organizations, to arrest, fine or charge producers, distributors and consumers of illegal cigarettes.

"This is probably the most important element," Dutil told reporters Wednesday.

About 30 per cent of cigarettes smoked in Quebec are contraband and the Quebec government is losing about $300 million a year in taxes, Dutil said.

He blamed organized crime for most of the illicit trade, but noted natives also are involved.

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• Even A Few Cigarettes A Day Reduces Artery Health In Young Adults 

A new study from Canada suggests that even light smoking in otherwise healthy young people damages the arteries, reducing their bodies' ability to deal with physical stress such as exercise, running to catch a bus or climbing stairs.

The study was led by Dr Stella Daskalopoulou, an internal medicine and vascular medicine specialist at McGill University Health Centre (MUHC) in Montreal, Quebec, who presented it at the Canadian Cardiovascular Congress 2009 that is taking place 24 to 29 October in Edmonton, Alberta. The event is co-hosted by the Heart and Stroke Foundation and the Canadian Cardiovascular Society.

In fact, Daskalopoulou and colleagues showed that even one cigarette led to serious adverse effects in young adults: it increased the stiffness of the arteries of otherwise healthy 18 to 30 year olds by 25 per cent, she told the conference.

Smoking helps plaque accumulate in the arteries, leading to a higher risk of blood clots, less oxygen in the blood, and higher blood pressure. It also makes the heart work harder and nearly doubles the risk of ischemic stroke . . .

"Young adults aged 20-24 years have the highest smoking rate of all age groups in Canada."

"Our results are significant because they suggest that smoking just a few cigarettes a day impacts the health of the arteries. This was revealed very clearly when these young people were placed under physical stress, such as exercise," she explained. . . .

For the study, Daskalopoulou and colleagues compared the arterial stiffness of young smokers who smoked about five or six cigarettes a day to that of non-smokers. The median age of the participants was 21.

They measured the participants' arterial stiffness in three arteries

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• Tobacco use in Saskatchewan costs economy $1.1 billion: study 

Tobacco use in Saskatchewan comes at a hefty price in terms of lives lost to tobacco-related diseases and an annual $1.1 billion hit to the province’s economy, says a new study.

The study commissioned by the Canadian Cancer Society Saskatchewan Division, which was obtained by the Leader-Post on Monday, noted that the direct and indirect costs of tobacco are costing every man, woman and child an estimated $1,063.

“And only 18 per cent of these costs are offset through tobacco tax revenue,’’ Janet Rhymes, author of the Genuine Progress Index (GPI) Atlantic report, said Monday.

Using the most recent provincial data, the report costed out the socio-economic toll tobacco use has on the province’s population.

“Although this is an economic exercise, we can never forget the profound life-changing impact for individuals and families who are affected by things like lung cancer, COPD and heart disease,’’ Rhymes said.

The Cost of Tobacco Use in Saskatchewan report found that smoking and exposure to second-hand smoke killed 1,561 people in 2005, accounting for about one out of every five deaths in the province.

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