From: Epoch Times
New York Attorney General Eric Schneiderman announced a $70 million lawsuit against FedEx Corp., the Memphis, Tenn.-based global courier company, for illegally shipping $80 million of untaxed cigarettes to consumers.
An investigation also found that FedEx moved 33 thousand shipments of untaxed cigarettes to the state since 2006. The over 400,000 cartons represent a direct tax loss of over $10 million.
FedEx signed an agreement with the state to cease all unlawful imports of cigarettes in 2006, but last December the city of New York filed a complaint in Manhattan federal court which alleged a slew of unlawful shipment claims against FedEx.
Each illegal shipment carries a maximum penalty of $5,000.
“Not only has FedEx cheated the state out of millions in tax dollars—but many of these cigarettes may have ended up in the hands of teenagers, who are particularly vulnerable to low-priced cigarettes,” Scheneiderman said in a release.
