Big Tobacco to Pay $92M to State

A panel of arbitrators thew out the Big Tobacco's $800 million claim against New York State.

Instead, the arbitrators ordered the companies to pay New York $92 million that they wrongfully withheld from their 2003 annual payment due under the 1998 landmark tobacco Master Settlement Agreement.

The ruling denies Big Tobacco's efforts to avoid responsibility for cigarette related illnesses and will protect the state from billions or dollars in future claims, according to State Attorney General Eric Schneiderman.