British American Tobacco Faces Lawsuit Over Alleged Role in Funding North Korea's Terrorism
A group of hundreds of US military service members, civilians, and their families have filed a lawsuit against British American Tobacco (BAT) and its subsidiary, alleging that the tobacco company spent years secretly helping North Korea fund terrorism. The allegations date back to 2001 when BAT formed a joint venture with a North Korean company to manufacture cigarettes in the country.
According to the lawsuit, BAT continued to operate the joint venture despite US government warnings of North Korea's involvement in terrorism and sanctions imposed on the country. In fact, the company secretly continued its operation through a subsidiary after publicly claiming it was ending business in North Korea in 2007.
The joint venture provided approximately $418 million in banking transactions, which were allegedly used to advance North Korea's weapons program. The US Department of Justice has accused BAT and its subsidiary of conspiring to violate sanctions and bank fraud, leading to a deferred prosecution agreement and fines of $629 million.
The lawsuit argues that BAT should be liable for damages due to its alleged role in funding the development of terrorist weapons used against Americans. North Korea allegedly used profits from the cigarette venture and cigarette smuggling to fund the development of weapons of mass destruction for Iran's revolutionary guard and Hezbollah, which were then used in attacks on US military bases and civilians.
The plaintiffs include service members who suffered traumatic brain injuries and post-traumatic stress disorder as a result of these attacks. They also include the widow and estate of a man killed while assisting refugees during one of the attacks.
BAT has not commented on the lawsuit, but its lawyers argue that the company was aware of the terrorist finance risks presented by the illicit cigarette trade and continued to operate the joint venture despite this knowledge. The case is seen as a significant test of accountability for corporate wrongdoing in facilitating terrorism financing.
In contrast to recent decisions where companies have been found not liable for damages due to insufficient action against terrorist groups, the lawsuit against BAT argues that the company's inaction was "conscious and culpable" and contributed to the success of North Korea's terrorist attacks.
A group of hundreds of US military service members, civilians, and their families have filed a lawsuit against British American Tobacco (BAT) and its subsidiary, alleging that the tobacco company spent years secretly helping North Korea fund terrorism. The allegations date back to 2001 when BAT formed a joint venture with a North Korean company to manufacture cigarettes in the country.
According to the lawsuit, BAT continued to operate the joint venture despite US government warnings of North Korea's involvement in terrorism and sanctions imposed on the country. In fact, the company secretly continued its operation through a subsidiary after publicly claiming it was ending business in North Korea in 2007.
The joint venture provided approximately $418 million in banking transactions, which were allegedly used to advance North Korea's weapons program. The US Department of Justice has accused BAT and its subsidiary of conspiring to violate sanctions and bank fraud, leading to a deferred prosecution agreement and fines of $629 million.
The lawsuit argues that BAT should be liable for damages due to its alleged role in funding the development of terrorist weapons used against Americans. North Korea allegedly used profits from the cigarette venture and cigarette smuggling to fund the development of weapons of mass destruction for Iran's revolutionary guard and Hezbollah, which were then used in attacks on US military bases and civilians.
The plaintiffs include service members who suffered traumatic brain injuries and post-traumatic stress disorder as a result of these attacks. They also include the widow and estate of a man killed while assisting refugees during one of the attacks.
BAT has not commented on the lawsuit, but its lawyers argue that the company was aware of the terrorist finance risks presented by the illicit cigarette trade and continued to operate the joint venture despite this knowledge. The case is seen as a significant test of accountability for corporate wrongdoing in facilitating terrorism financing.
In contrast to recent decisions where companies have been found not liable for damages due to insufficient action against terrorist groups, the lawsuit against BAT argues that the company's inaction was "conscious and culpable" and contributed to the success of North Korea's terrorist attacks.