EU, BAT Sign Accord To Fight Illegal Tobacco Trade

15th Jul 2010 11:23

BRUSSELS (Dow Jones)--The European Commission and British American Tobacco PLC (BTI) signed an agreement Thursday aimed at tackling the illegal tobacco trade, which costs the European Union an estimated EUR10 billion annually in unpaid taxes. "Under the legally-binding agreement, BAT will work with the European Commission, its anti-fraud office OLAF, and member states' law enforcement authorities to help in the fight against contraband and counterfeit cigarettes," the commission explained in a statement. BAT will also pay the EU a total of $200 million in the next 20 years, to finance the fight against the illegal trade. -By Alessandro Torello, Dow Jones Newswires; +32 2 741 14 88; [email protected] (END) Dow Jones Newswires July 15, 2010 06:23 ET (10:23 GMT)