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Tobacco Firms Receive Antitrust Subpoenas

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Bloomberg News

Philip Morris Cos., RJR Nabisco Holdings Corp. and at least two tobacco leaf processors were served with subpoenas from a federal grand jury in Philadelphia investigating possible antitrust violations in the tobacco leaf industry. Philip Morris, RJR, Universal Corp. and Dimon Inc. confirmed receiving the demands for information on leaf purchases in what the Justice Department said was a broadened probe that grew out of a preliminary inquiry it disclosed in January. British American Tobacco’s Brown & Williamson cigarette division declined comment. “We’re reviewing the subpoena and will cooperate with the grand jury,” a spokeswoman for Philip Morris said. Industry officials who spoke on condition of anonymity said the investigation focused initially on independent buyers of leaf tobacco.

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