Online Cigarette Sellers Evade Taxes, New York Says in Lawsuit

New York City, which has one of the nation's highest cigarette taxes, sued a group of web site owners for evading the steep taxes by selling cartons over the Internet to Big Apple smokers. The suit, believed to be the largest filed so far by a city or state against Internet tobacco vendors, was filed under the federal Racketeer Influenced and Corrupt Organization Act that allows for triple damages.