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American Morning

Lack of Funding May Jeopardize Tobacco Lawsuit

Aired April 26, 2001 - 11:13   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
LEON HARRIS, CNN ANCHOR: The Justice Department is insisting that no decision has been made on whether a huge federal lawsuit against the tobacco industry will be dropped due to a lack of funding. That suit was brought by the Clinton administration. We check in now with our Jeanne Meserve in Washington. She's got the latest on this for us -- Jeanne.

JEANNE MESERVE, CNN CORRESPONDENT: Leon, you know the future of tobacco legislation has been in question ever since the change in the administration. And the issue became more relevant Wednesday when it was revealed that Justice Department lawyers involved in the case have written an internal memo saying the level of funding for their effort proposed by the Bush administration was so low it might force them to abandon the suit.

As a senator, Attorney General John Ashcroft opposed tobacco litigation efforts. Today on Capitol Hill, his former colleague South Carolina Democrat Ernest Hollings wanted to know where Ashcroft stands now.

(BEGIN VIDEO CLIP)

SEN. ERNEST HOLLINGS (D), SOUTH CAROLINA: Are you for the case or against the case?

ATTORNEY GENERAL JOHN ASHCROFT: The Department of Justice is proceeding with the case. And I support the department's position.

I think that we have made the right kind of request and have the same identical structure, which my predecessor had asked for in the appropriation. And so the capacity proceed with the case exists in the department in the same way that it would have in previous settings and would have in this setting had the election been different.

(END VIDEO CLIP)

MESERVE: Ashcroft pointed out that two court decisions are pending in the litigation. And until those were rendered, Ashcroft said, the department would make no decision on whether or not to proceed with the tobacco case.

The "Washington Post" reports this morning that Ashcroft is considered removing some of the Justice Department lawyers involved in the case because of questions about their performance. But in his appearance before Senate Appropriations Committee, Ashcroft said he has not indicated whether or not there will be reassignments.

The current case seeks more than $100 billion in damages from the tobacco companies. But for now, the Justice Department is moving very much as former Attorney General Janet Reno did. Back to Atlanta.

LINDA STOUFFER, CNN ANCHOR: OK, Jeanne, thank you.

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