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Hundreds of US military personnel, civilians and their families have launched legal action against British American Tobacco, alleging the UK-based tobacco giant spent years illegally helping North Korea finance terrorism through weapons programs that targeted Americans.
The Core Allegations
The lawsuit seeks unspecified damages from BAT and one of its subsidiaries, claiming the company maintained illicit operations in North Korea even after international sanctions were imposed. According to the US Department of Justice, BAT established a joint venture with a North Korean company in 2001 to manufacture cigarettes within the country’s borders.
The operations continued despite escalating US government warnings about North Korea’s terrorism funding activities and the implementation of sanctions. A 2005 investigation by The Guardian had already revealed that BAT’s venture was quietly operating even as international pressure mounted against the regime.
Secret Operations Beyond Official Exit
While BAT publicly claimed in 2007 that it was ending its North Korean business operations amid mounting international pressure, the company secretly maintained its activities through a subsidiary company. This revelation came to light during a 2023 US Department of Justice investigation into the matter.
Matthew Olsen, who served as the Justice Department official overseeing the national security division, testified before the Senate in 2023 that BAT’s North Korean venture generated approximately $418 million in banking transactions. According to Olsen’s testimony, this substantial revenue stream was “used to advance North Korea’s weapons program.”
Corporate Accountability Questions
The case represents a significant legal challenge for one of the world’s largest tobacco companies, headquartered in London. The lawsuit alleges that BAT’s continued operations violated sanctions designed to prevent North Korea from accessing international financial systems and funding its weapons development programs.
The plaintiffs claim that weapons funded through BAT’s operations were subsequently used in terrorist attacks against American military personnel and civilians in the Middle East. The legal action highlights growing scrutiny over multinational corporations’ compliance with international sanctions regimes.
What’s Next
The lawsuit against BAT remains ongoing, with the company yet to publicly respond to the specific allegations outlined in the legal filing. The case could set important precedents for corporate liability in sanctions violations and the funding of state-sponsored terrorism activities.
Sources: The Guardian
