04/28/2026 | Press release | Distributed by Public on 04/28/2026 12:02
04/28/2026
(Hartford, CT) -- Attorney General William Tong today joined a bipartisan coalition of 24 other attorneys general and the City of New York in urging major credit card companies and payment processors, including American Express, Capital One, Citi Group, Mastercard, Visa, PayPal, Stripe, Sezzle, and Block (operator of Square, Cash App, and Afterpay) to take stronger action to prevent their payment networks from being used to facilitate sales of illegal vaping products. In letters sent to corporate leadership of each company, Attorney General Tong and the coalition called for collaboration to block unlawful transactions that enable the widespread distribution of illegal vaping products, particularly to young people.
Today's letters build on active and ongoing enforcement actions in Connecticut into smoke shops, convenience stores and wholesalers selling highly potent, illegally-imported disposable e-cigarettes flavored and designed to appeal to youth.
"Attorneys general united to take on Big Tobacco in the 1990s, forcing the largest civil settlement in history and dramatically driving down youth smoking rates. Now, illegal vaping products, including flavored disposable vapes, are luring a new generation of youth into a lifetime of nicotine addiction. Attorneys general are coordinated and using the full weight of our combined law enforcement authority to crack down on these bootleg sales, and we urge the nation's major credit card companies and payment processors to join us in stopping illegal sales and protecting public health," said Attorney General Tong.
Federal law requires that all e-cigarette products receive authorization from the U.S. Food and Drug Administration (FDA) before they can be legally marketed or sold in the United States. To date, the FDA has authorized only 41 e-cigarette products, none in flavors other than tobacco or menthol, meaning the vast majority of vapor products sold are illegal. Products that have not received FDA authorization are considered "adulterated" under federal law and cannot legally be sold or shipped in interstate commerce.
In addition, the federal Prevent All Cigarette Trafficking (PACT) Act imposes strict requirements on online sellers, including age verification, registration, and compliance with all laws applicable to the sale of vaping products. Attorney General Tong and the coalition argue that many online retailers are failing to comply with these federal laws, as investigations show that most online sellers violate these requirements, including basic safeguards meant to prevent youth access. Many of these sales are also illegal under state and local laws. Despite these restrictions, unauthorized e-cigarettes continue to be sold in vape shops or online and shipped directly to consumers, with transactions frequently processed through major payment networks.
States have taken enforcement actions against illegal businesses, including litigation and referrals to federal authorities for placement on the Bureau of Alcohol, Tobacco, Firearms, and Explosives' Noncompliant List. However, the coalition emphasizes that enforcement against vape sellers is not enough, and that payment processors play a critical role in stopping illegal sales at their source.
Attorney General Tong and the coalition are calling on the credit card companies and payment processors to take meaningful steps to prevent their services from being used to process illegal e-cigarette transactions. Specifically, they are requesting a meeting to discuss solutions, including prohibiting merchants and payment processors that violate federal, state, and local laws from using their networks. The coalition emphasizes that collaboration between government and the private sector has successfully reduced illegal tobacco sales in the past and is essential to addressing the current surge in unlawful vaping product distribution.
Joining Attorney General Tong in sending the letters, which were led by the attorneys general of New York, Pennsylvania, California, and the City of New York, are the attorneys general of Arizona, Delaware, Hawaii, Illinois, Indiana, Maine, Maryland, Massachusetts, Michigan, Nevada, New Hampshire, New Jersey, New Mexico, North Carolina, Oregon, Rhode Island, Tennessee, Vermont, Washington, Wisconsin, and Puerto Rico.
Attorneys General have long been at the forefront of efforts to curb youth addiction. In 1998, attorneys general from 52 states and territories reached a settlement with the four largest tobacco companies, settling suits filed by dozens of states and imposing strong new restrictions on tobacco advertising and marketing practices, including prohibitions on billboards, cartoons, branded merchandise, and sports sponsorships. The companies were forced to eliminate practices that obscured tobacco's health risks and were required to establish and fund the Truth Initiative, an advocacy organization dedicated to "achieving a culture where all youth and young adults reject tobacco." The settlement directs payments to the states and territories in perpetuity so long as cigarettes are sold by tobacco companies participating in the agreement.
Connecticut recently received its annual payment, approximately $100 million, from that settlement. To date, Connecticut has received more than $3 billion from tobacco companies under the agreement.
Assistant Attorneys General Amor Rosario and Heather Wilson, Deputy Section Chief for Tobacco Enforcement are assisting the Attorney General in this matter.
Twitter: @AGWilliamTong Facebook: CT Attorney GeneralElizabeth Benton [email protected]
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