Jump to full article: Saipan Tribune (mp), 2006-02-21
Author: Ferdie Dela Torre
Intro: A Philippine-based cigarette manufacturer has reached a settlement agreement with the CNMI government to resolve the Commonwealth's lawsuit against the company for allegedly not complying with local tobacco laws.
Antonio B. Yao, vice president for operations of La Suerte Cigar and Cigarette Factory, and acting Attorney General Matthew T. Gregory entered into a consent decree.
Superior Court Presiding Judge Robert C. Naraja approved the consent decree yesterday.
Under the consent decree and final judgment, La Suerte acknowledges that it violated Public Law 13-15 or the Commonwealth Tobacco Escrow Statute, but denied that it did so knowingly. . . .
The statute, P.L. 13-15, prescribes that a tobacco manufacturer who is not a participant in the Tobacco Master Settlement Agreement shall place $.016 per cigarette sold, plus 13.362 percent for inflation, into a qualified escrow account. . . .
The government also filed the same lawsuit against Philippine-based Fortune Tobacco Corp. owned by beer and tobacco magnate Lucio Tan.
In December 2005, Naraja issued a default judgment that found the company liable to pay $1.9 million plus costs and fees to the government for not complying with local tobacco laws.
Fortune Tobacco manufactures, among other cigarette brands, "Hope Luxury" and "Champion," which, according to AGO, were or are sold in the CNMI.
Jump to full article » |