Tobacco.org

Former RJR executive to testify on smuggling 

A former executive at RJR-Macdonald Corp. has agreed to plead guilty to a criminal charge and testify against tobacco firms over allegations they profited from cigarette smuggling. Stanley Smith, a former vice-president of sales at RJR-MacDonald, will testify at a preliminary hearing in Toronto to determine if the Crown has enough evidence to take its case against Japan Tobacco Inc.'s JTI-MacDonald unit and other firms to trial, Mr. Smith's attorney Brian Heller told an Ontario court judge. . . .

JTI-MacDonald, a successor to RJR-Macdonald, and three companies that were associated with or were units of RJR Nabisco Holdings Corp. are accused of defrauding Ottawa of more than $1.2-billion in taxes and duties by exporting cigarettes to the United States, knowing they would be smuggled back into Canada for sale on the black market.

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