Gates, Bloomberg fund fight against Big Tobacco

Gates, Bloomberg fund fight against Big Tobacco

2015-03-18 20:00

London - Developing countries facing potentially pricey legal challenges from big tobacco firms are to get help from a new $4m fund created by the philanthropists Bill Gates and Michael Bloomberg.

Announcing the creation of the anti-tobacco trade litigation fund on Wednesday, Bloomberg Philanthropies and the Bill & Melinda Gates Foundation said countries with limited resources should not be bullied into making bad health policy choices.

"This new fund is going to help countries who are sued by the tobacco industry fight back in court and win," Bloomberg, the former mayor of New York and one of the world's richest people, told reporters in a telebriefing.

Bloomberg and Gates, the billionaire co-founder of Microsoft, cited examples such as Uruguay, which since 2010 has been fighting a legal challenge by the cigarette maker Philip Morris International against the use of graphic health warnings on tobacco products.

Australia has also been fending off a World Trade Organisation challenge and a legal challenge by Philip Morris against its anti-tobacco laws.

The tobacco industry's use of international trade agreements to threaten and prevent countries from passing tobacco control laws was unacceptable, Bloomberg said.

"This is not about trade," he said. "No one is a stronger supporter of capitalism and trade than I am. This is about sovereignty and whether a country has the right to set its own public health policies."

According to the American Cancer Society and the World Lung Foundation's 2012 Tobacco Atlas, the combined profit of the world's six leading tobacco companies was $35.1bn in 2010.

Britain voted last week to introduce a ban on branding on cigarette packs, following Australia in introducing so-called "plain packaging" to try to protect public health

British American Tobacco [JSE:BTI], the world's second-largest cigarette maker, has said it will take action against Britain, which has a $29bn tobacco industry, but the department of health said it would "defend this policy robustly against any legal challenge".

Gates noted in a statement that smaller countries did not have the same resources as Australia and Britain.

"Country leaders who are trying to protect their citizens from the harms of tobacco should not be deterred by threats of costly legal challenges from huge tobacco companies," he said.

The US-based Campaign for Tobacco-Free Kids will administer the fund, starting with $4m to be used "to encourage and assist governments to defend themselves", the philanthropists said in a statement. The initial investment is expected to grow as more donors come on board, they said.

  • Riedewaan Chalklen - 2015-03-18 20:14


  • Mike Gooderson Lovatt - 2015-03-18 20:36

    With no advertising budgets these companies have huge cash resources and would make even Gate's look like a pauper.

  • Rupert Van Der Merwe - 2015-03-18 20:50

    What a joke!! Gates has invested heavily in Monsanto which uses exactly the same tactics....two faced...

      Richard Cypher - 2015-03-19 09:44

      Surely he can invest wherever he likes. The tobacco industry sells addictive products that have serious negative health consequences. Monsanto sells GMO foods, which can pretty much feed the world with pest-resistant crops and in the case of Golden Rice, avoid more than a million children a year going blind from Vitamin A deficiency. Easy choice.

  • Richard Cypher - 2015-03-19 09:41


  • Al Kazar - 2015-03-19 10:08

    "countries with limited resources should not be bullied into making bad health policy choices" - they should also not be bullied into making any health policy choices based on unfounded claims by anti-tobacco organisations and the WHO

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