Appellate Court Issues 'Stay' in Tobacco Tax Challenge Preventing New York State From Collecting Tax From All Indian Nations Located in New York

CATTARAUGUS TERRITORY, N.Y., Sept. 1 /PRNewswire/ -- New York Appellate Court Justice Samuel Green today issued a stay regarding the August 30 State Supreme Court ruling in the "Day Wholesale v. State of New York" tobacco tax case.  The Green ruling temporarily enjoins the State from collecting tobacco taxes from all Native American tobacco sellers within state boundaries.

The ruling by the Rochester-based Fourth Department Appellate judge reinstates the injunction State Supreme Court Justice Donna M. Siwek lifted on August 30, until an Appellate Court panel hears arguments next week.

"We are extremely relieved that now all Indian nations within New York are protected from the State's collection efforts, while efforts continue in both State and Federal Courts to continue our challenge of the State's misguided taxing scheme," said Seneca Nation of Indians President Barry E. Snyder Sr.

The Seneca Nation were granted intervener status in the 2006 "Day Wholesale" case late last month and had argued before Siwek August 30 that the court should consider procedural flaws in the State's implementation of the tax scheme that was scheduled to go into effort today.

On Tuesday, Federal Judge Richard J. Arcara issued a temporary restraining order in a lawsuit brought by the Seneca Nation, and joined by the Cayuga Nation.  The order, which is in effect though Sept. 13, protects only those plaintiffs.

Lawyers for the Senecas, Cayugas and State of New York are due back in federal court Thursday afternoon at 1 p.m. for pre-hearing motions ahead of full arguments on the Seneca case.

SOURCE Seneca Nation