Tobacco Documents Online

t EVENING STAR Washittgton, D.C. June 25, 1964 Firms to Fight CigarelleRule, House Is Told Legality of FTC Health Warning Order Challenged By eN AeaeMerd Press The tobacro industry today denounced the new Federal rule on cigarette labels and adver- tlsing as unlawful, tmwise, and unfair and sald, "We shall oppose it In the courts It necessary." The rule. announced by the Federal Trade Cammissioa Smeki.e, Heart Ditesw link ih Dit• puted by Studr. Page a•4 NAId. STREET JOURNAL Page New York, New York ~~ ~ 0 L~ 3 G 12 June 26, 1964 FT C's Stc f f Antisrnnking Rules Are Liket y To Be Altered b y Law; l ndustry Hits Agency ne N w'pr.l. RrR6Rr,inrRSVAL afafJ a'rpnrNr WASFIINGTO:« The Federal Trade Com• nilsefon's new antlmnoktrig regulations pro• voked numerous proposale in Congressional halls yesterday for ways to block or ease the stiff twez. Although much eitting will be required be. fore legislation can take shape, the Initlal In- dlcations are that the lawmakers won't leave It to the PTC to set boundaries for the tobac- co industry Even spokesmen for the lnduntry, aghast at the F'PC'a requirement that all clgaret packs and adp carry a warning that smoking may cauae death, showed a preferenee for Con- gresalonel Inlervennon even It It meant ad• herenre to some lesser penalty. "lif a caution- ary label te needed. then by all means Con- gress should Impose It:' Bowman Gray, chair- man of R. J. Reynolds Co., told a House com. mittee. Reacting to a proposed law directing cig• a, aret makers to caution their cuslomert< that "smoking may be Injurioua to your health." Mr. GeaY said be would "conMder that a whole lot tess onerous than the FTC requirement." Appearing before the House Commerce Commlttee, the Reynolds otlrcial lashed out at the F9+C. The agency'a proposed warning re. quiremenl Is "unwlse, unwarranted and isn't a fair factual statement of the present Rtate of scientific knowledge." he told the panel. The tobacco industry will tight the requirement in the courls. If necessary. he said. The most signtficant indication of Congrea- slonal inlent came from Commerce Comndt• tee Chairman Harris iD., Ark.l. He exlrai•trrf from FTC Chairman Dixon, during his appear- ance on Wednexday. an acknowledgement that legislatitm would be more effective than ad- mintetrattve action to meet smoking'A threat to heallh. Congreas could dirert the Industry to adopt a warning message irnmediately. while the pTC requirement may be held up for four years or more in court, Mr. Dixon told the House committee leader. What sort of warning Mr. Harris may have in mind is yet to be determined. But he said that "if the report of the scientific experts in true, that rtgareta, beyond any queption. cause injury and death to people• then I am dere11N, aud lhis CongresR IR derelict. if we don't provide a law to restrict their uRe." Tohacco atate laRlmakera offered a rash of proposals for nulllfying the FTC action or barring the comminvion from IRaulr.R rulings altogether. Rep. Taylor t D., N.C.1 Iatroduced a bill that would prohibit the agency from putting its smoking regulations Into effect. Rep. Snyder I R. • Ky. t proposed a law change that would give Cbngreas veto power over any order issued by a Federal regulatory agency. y e s t e r d a y, would require -qt showd be parasea tn a tobacco manufacturers b? aext way which reflects the lack ot vear to include a warn.ng on clinical and laboratory scientitic cigarette labels and advertising ewdence of tne relationshi that smoking may Cause death between smddng and health irom cancer and other diseeses. 1e soid. The industty's apptaltion to Paul Rand p~ton, cbalrman the rule was made clear by ~(be @~C, told the committee Bowman Cray, chairmaa of the yesterday he hopes the Induatry board of the R. J. Reynolds will comply eoluatauily, but he Tobacco Co., as be testiiied added: before the House Commerce '7ey can take this rule to Committee. the neanegt cow't and ask for a FTC Authority quesqoaed review, Tm saHsHed this wiU "I am here," Mr. Gray told ha~„ Mr' a es ' Dixon etttfineted that it the man for the committee, "as a manufactu ~ of the industry goes to trourt it will virtualy' all d4arettes roduced 'a~ four years of Utigadat P before the rule can go into in this cotuttry. ' eftect, which means ehere is In his testimony, Mr. Crey little likelihood the comtals- said "our attorneys have sion's rule deadlines wW be advised us that the commission met. .loes not have the authority to The FTC, In the rule an• issue this trade feguiation aottnced by Mr. Dixon yester- rule." relipires all cigarette He contended that no gov menufac to label. their ~tbe prt'sen~timet but sald p~ucts by January 1 with a T h e American Medical "191e thing that I thought w-o it were tmeded, "We believe waremg thal cigarette amok- AuclaHon'h Nouse ot Dele• came here to do," said Itept'e~ this matter should be resolved Ing Is dangerous to health end gates, meeting in San Francis- sentative Nelson, Republican o1 by the t7ongress and not by a may cause death trom emcer co. mede no mention ot the Minnesota, "has already been ~~ ~cy. „ and other diseases." F'i'C rule. But a statement was done by tule•tnaking of the Mr. Gray said the FTC rule, The commission set a July 1, adopted recognizing "a Fignifi- Federal Trade ComtNsslon." unlike a congresslonal act, 19&5 deadline for this warning c a a t relationship between Mr. Dixon defended his would not prevent States and label to be included in all cigarette smoking and the a u t h o r i t y and challeaged local communitles tromisatt1ng advertising, although it said it Incldence of lung cancer." Congress to take it away from laws of their tma on labels and would postpone this deadline it Dlaon Defends Posltios the commission if Congress advertising. He tsald coofiieta the Industry could convince the believes the FTC should nst between Federal regulations commission that it had chtulged Mr. Dixon's announcement of have it. and local laws could create an its advertising In such a way to the rule at yesterday's bearing He said the FTC, under ttotenible s{tuatias for tslgaw make the requirement tume• aoemiri to ireitate some mem• ?reaettt law, has the t~ u bi1• ette maat+testt.~era. ~ry' bars of Ihp ct~mlitL.~ ~h: ~ ta iss" the fuin. T h e mmouncement was begeve Congress, not the the FTC would withdraw Its "Be Fair and Faetual" reflected at once In the atock;hdependent F''C, should be in rule if the arommiltee suggested Ii Congress should decide that market. While the New York e business of deciding whetif it do so, Mr. Dixon replied the e warning in labels and adver- Stock Exchange list was tteoring~t~igarette labels and adver FTC would do ao only by "a tisleg is necessary. Mr. Gray Its best advance in a month, g need a warning label. command ot Con~eaa said, "the required caulion prices of major tubat'co atocks The eommillee, in fact, was "1'ou cannot -elieve me af my should be fair and factual"- slipped DceMs to Sl so. 1 a~ile ioe thatgswcntdp~ ~~ Ibility so easiil; " be which he aaid the FTC proposal this require ~i"' Is not