Black Market Cigarettes Fund Terrorism, Report Says April 30, 2008
News Summary
New Yorkers who buy black market cigarettes in an effort to dodge high city and state taxes may be unwittingly supporting terrorist groups like Hezbollah and Hamas, according to a congressional staff report.
WNBC-TV reported April 28 that the report from Rep. Peter King (R-N.Y.), ranking minority member of the House Committee on Homeland Security, said that bootleggers who have immigrated from the Middle East are buying tax-free cigarettes at Indian reservations in upstate New York and resell them in New York City. Some of the profits are then funneled to terrorist groups, the report contends.
"No such thing as a free ride, a free meal or a free cigarette," said King. "You're getting that cigarette at a much-reduced price; be concerned the profits are going to fund America's enemies, Hamas and Hezbollah."
"A motivated terrorist cell could generate sufficient funds to carry out another Sept. 11th style attack, which operational costs were estimated to be $500,000," according to the report, "Tobacco and Terror."
King urged New York Gov. David Paterson to derail the bootlegging by collecting taxes on cigarettes sold on Indian reservations.
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