EU to continue fight against tobacco giants

The EU, despite a court setback, is not giving up its fight against tobacco giants it claims sponsored cigarette smuggling in Europe.

European Commission spokesman Luc Veron said today it may refile part of its lawsuit against US tobacco companies Philip Morris and RJ Reynolds.

‘‘Our case is still alive,’’ said Veron. ‘‘All our options are still open.’’

The EU claims that cigarette makers intentionally oversupplied countries in Eastern Europe and elsewhere so the surplus would be smuggled into the U, resulting in billions of pounds in lost taxes over the years.

A New York judge yesterday threw out the action, citing the so-called ‘‘revenue rule,’’ which bars one country from enforcing tax claims by other countries.

Veron said, however, that a second part of the ruling dismissing racketeering and money laundering as part of the ‘‘consequences of this smuggling’’ did allow for the refiling of a more detailed claim.

‘‘With regard to the public nuisance aspect of smuggling, with regard to public order complaint, the judge said you could re-word your complaint and make it more specific,’’ Veron said.

The ruling was still being reviewed and no decision had been made yet whether to refile or to appeal the judge’s ruling, he said.