Tags: ups | delivering | untaxed | cigarettes | trial

UPS Accused of Delivering Untaxed Cigarettes in New York

Image: UPS Accused of Delivering Untaxed Cigarettes in New York

UPS Inc. is accused of shipping untaxed cigarettes to New York residents. (Scott Olson/Getty Images)

By    |   Tuesday, 20 Sep 2016 01:41 PM

UPS Inc. is accused of owing more than $800 million in penalties for untaxed cigarettes shipped to New York residents, the state's attorney general argued at the beginning of a trial on Monday.

But UPS lawyer Carrie Cohen said the company was in compliance with the law, saying that the shipments have been mistaken and that it’s not cigarettes that were shipped, but instead “little cigars,” Bloomberg reported.

“Little cigars are practically indistinguishable from cigarettes,” Cohen said in court Monday. “UPS is in full compliance with the law.”

Cohen referred to the damages figure, which was disclosed during opening statements, as a “ridiculously high number,” Bloomberg noted.

She called the case "devoid of evidence that UPS knew it was delivering cigarettes,” Reuters reported.

Lilia Toson, the city’s lawyer, argued that UPS employees disregarded the law, ignoring important policies that are in place to detect signs that cigarette traffickers and illegal shippers were in connection with the UPS, benefiting from their services, Bloomberg reported.

“When UPS employees did see those signs, they ignored them,” Toson said.

The lawsuit was filed in February of 2015, and claims that UPS’ wrongdoing began in 2010 and that they shipped more than 650,000 cartons of untaxed cigarettes throughout New York, according to Reuters.

The lawsuit follows a similar case against FedEx Corp, Reuters noted. That lawsuit is pending.

© 2017 Newsmax. All rights reserved.

 
1Like our page
2Share
TheWire
UPS Inc. is accused of owing more than $800 million in penalties for untaxed cigarettes shipped to New York residents, the state's attorney general argued at the beginning of a trial on Monday.
ups, delivering, untaxed, cigarettes, trial
225
2016-41-20
Tuesday, 20 Sep 2016 01:41 PM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
America's News Page
© Newsmax Media, Inc.
All Rights Reserved