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Architect of tobacco case quits Justice Dept

Posted on: Wednesday, 30 November 2005, 21:15 CST

By Peter Kaplan

WASHINGTON (Reuters) - The architect of the government's racketeering case against cigarette makers said on Wednesday that she had resigned at a time when the Justice Department is scaling back the legal team devoted to the case.

Justice Department lawyer Sharon Eubanks said she was voluntarily resigning after 22 years at the department. The decision comes as the department awaits a ruling in the landmark case.

"The political appointees to whom I report made that an easy decision," said Eubanks, adding she was "looking forward to pursuing other opportunities in the practice of law."

Eubanks said the tobacco litigation team, which at one time comprised about 35 lawyers at the department, had been reduced to a "skeleton crew" in recent weeks as many members have been reassigned to other tasks.

A spokesman for the Justice Department was not immediately available for comment.

As the nine-month trial drew to a close in June this year, some members of the trial team expressed frustration after senior department officials decided to scale back requests for a 25-year, $130 billion national smoking cessation program to a $14 billion quit-smoking program.

Anti-smoking activist Matthew Myers expressed concern on Wednesday about Eubanks' departure and cutbacks in the legal team.

"We would hope that (Eubanks') departure is not the result of undue political influence," said Myers, president of the anti-smoking group Campaign for Tobacco-Free Kids.

On October 17 the Supreme Court rejected a Justice Department appeal aimed at resurrecting the government's biggest weapon in the case -- a potential $280 billion disgorgement of past industry profits.

Targeted in the lawsuit are Altria Group Inc. and its Philip Morris USA unit; Loews Corp.'s Lorillard Tobacco unit, which has a tracking stock, Carolina Group; Vector Group Ltd.'s Liggett Group; Reynolds American Inc.'s R.J. Reynolds Tobacco unit; and British American Tobacco Plc's unit British American Tobacco Investments Ltd.

The presiding judge in the case, U.S. District Judge Gladys Kessler, is expected to rule in coming months.

The tobacco companies denied that they illegally conspired to promote smoking and said the government has no grounds to pursue them after they overhauled marketing practices as part of a 1998 settlement with state attorneys general.

But anti-smoking groups have urged the government to continue pressing for tough sanctions and not to settle with the industry on weakened terms. "The trial is over, but this case is by no means done," Myers said.

Source: REUTERS

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