National Post

Saturday, April 24, 1999

U.S. tobacco industry engaged in 'criminal conspiracy': Ontario


by John Ibbitson

The Ontario government intends to sue the American tobacco industry, claiming it engaged in a criminal conspiracy to addict the province's smokers.

Elizabeth Witmer, the Minister of Health, said the provincial government hopes to recoup up to $40 billion (US) in damages from the industry under the U.S. Racketeer Influenced and Corrupt Organization (RICO) Act. American states, suing under the same act, recently settled a claim for damages with the industry totaling $250 billion over 25 years.

Ms. Witmer told reporters yesterday that now it's Ontario's turn.

The lawsuit "is based on a criminal conspiracy," she told reporters at a press conference. "We have a group of manufacturers who did conspire to produce a product which did addict."

The initiative, however, failed to placate the authors of a report on the government's anti-smoking strategy that Ms. Witmer commissioned and released yesterday.

The Expert Panel on the Renewal of the Ontario Tobacco Strategy chastised the Conservative government for failing to implement most of their recommendations.

"Today's announcement leaves us with more words and few actions," said Dr. Mary Jane Ashley, the chair of the committee that produced the report.
"We have promises of intent rather than real commitments, and generalities abound."

Dr. Ashley was particularly disappointed that the government will not increase tobacco taxes. Ontario smokers get the cheapest cigarettes in Canada, according to the report, paying $3.95 for a pack of 25 cigarettes, compared to $5.94 in Manitoba and $4.03 in Quebec. Ontario cigarettes are now cheaper than in any American border state as well.

Ms. Witmer promised only to consult with the federal government and other provinces in an attempt to harmonize tobacco prices across Canada in hopes of deterring both smoking and smuggling.

Ontario is also avoiding the approach taken by British Columbia, which passed a law and launched a lawsuit to force Canadian tobacco companies to compensate the province for health and other costs associated with smoking.

The Conservative government believes its chances are better in the American courts, said Ms. Witmer, and that awards there are much higher.

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