§ 44-20-28.1 - Noncompliance with tobacco manufacturer's escrow fund – Penalties. - Rhode Island Statutes

SECTION 44-20-28.1

   § 44-20-28.1  Noncompliance with tobaccomanufacturer's escrow fund – Penalties. – (a) A distributor may not affix, or cause to be affixed, stamps to individualpackages of cigarettes to be sold or distributed in this state by a distributorlicensed in this state if the attorney general has notified the distributorthat the tobacco product manufacturer of those cigarettes has:

   (i) Failed to become a participating manufacturer as definedin § 23-71-3(1); and

   (ii) Failed to create a qualified escrow fund and make therequired deposits in the escrow fund pursuant to § 23-71-3(2)(i) for anycigarettes the distributor sold or distributed for that tobacco productmanufacturer in this state.

   (2) As used in this section, "tobacco product manufacturer"has the same meaning as that term is defined in § 23-71-2.

   (b) A distributor who violates this section is subject tosuspension or revocation of its license pursuant to § 44-20-8.