US terrorism victims bring claim against BAT related to North Korea sanctions breaches

3 July 2026

American victims of terrorist attacks in Iraq have filed a complaint against British American Tobacco (BAT) claiming that BAT aided and abetted the attacks by “knowingly providing substantial assistance” to the North Korea - IRGC - Hizballah enterprise that produced the missiles launched in the attacks. The IRGC and Hizballah are designated as terrorist organisations by the US (see our US Counterterrorism page for more information).

The claim follows the dismissal of criminal charges against BAT for violating US sanctions by selling cigarettes to North Korea through its subsidiary BATMS. The charges were dismissed because BAT was held to have complied with the DOJ’s deferred prosecution agreement (DPA).

The claimants now argue that BATMS’ admission of guilt under the DPA shows that BAT “wilfully conspired” with North Korean arms traffickers, and that it is liable for the attacks under 18 U.S. Code § 2333. The claimant’s last court filing says:

• BAT’s joint venture partner in North Korea was Office 39 (and not, as BAT claims, North Korean Tobacco Company) Office 39 is sanctioned by the US for being involved in illicit activities related to North Korea, pursuant to EO 13551.

• Office 39 functioned as a procurement arm for the IRGC’s and Hizballah’s missile program.

• BAT-generated currency was transferred to fund North Korea’s arms programs, and the production of the IRGC’s and Hizbollah’s missiles used in the terrorist attacks.