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Tuesday, May 30, 2017

UPS hit with $247M fine for illegally shipping cigarettes

A federal judge on Thursday ordered delivery giant UPS Inc. to pay New York City and the state nearly $247 million in damages and penalties for illegally shipping cigarettes.

U.S. District Judge Katherine Forrest handed down the penalty after finding the company liable in a civil case in federal court in Manhattan in March, saying the company ignored “red flags” that its brown trucks were being used to transport untaxed cigarettes from Indian reservations.

New York state and New York City sued Atlanta-based UPS in 2015. The lawsuit accused it of having a corporate culture that favored sales opportunities over a responsibility to following regulations helping New York enforce tax law.

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3 comments:

Anonymous said...

Did UPS employees see what was in the boxes?

Anonymous said...

Good grief!

C Gilbert said...

So New York City & State sued UPS for not helping them enforce their laws. Maybe turn-about is fair play & the Feds will sue New York City & State for not enforcing federal immigration laws.