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Attorney General Raoul Joins Bipartisan Effort To Curb Sales Of Illegal Vaping Products

Bipartisan coalition urges major card networks and payment processors to prevent their systems from being used for unlawful e-cigarette transactions.

Submitted by Office of the Illinois Attorney General
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CHICAGO Attorney General Kwame Raoul 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.

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In letters sent to corporate leadership of each company, Raoul and the coalition called for immediate collaboration to block unlawful transactions that enable the widespread distribution of illegal vaping products, particularly to young people.

“Highly addictive vape products have flooded the market nationwide and pose significant health risks, which is why they must be subject to strict regulation,” Raoul said. “Protecting our communities, particularly our youth, from illegal vapes does not end at Illinois’ borders. I am committed to continuing to collaborate with other state attorneys general on a bipartisan basis to hold accountable those who contribute to the vaping epidemic.”

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 without FDA authorization are considered “adulterated” under federal law and cannot legally be sold or shipped in interstate commerce.

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In addition, the federal Prevent All Cigarette Trafficking (PACT) Act imposes strict requirements on online sellers, including age verification, registration and compliance with all law applicable to the sale of vaping products. Raoul and the attorneys general argue 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, including the Preventing Youth Vaping Act, which went into effect in Illinois in 2022 and makes it unlawful to sell e-cigarettes in Illinois that lack the requisite FDA authorization. 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 payment processors play a critical role in stopping illegal sales at their source.

Attorney General Raoul 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.

Today’s letters are part of Attorney General Raoul’s ongoing work to combat the flow of unlawful flavored vape products into Illinois. In January 2025, Raoul filed a lawsuit against the entities responsible for the distribution of the popular flavored disposable vape brand, Posh. Raoul’s suit brings claims under the Preventing Youth Vaping Act, seeking to enjoin Posh from selling adulterated e-cigarettes in Illinois and marketing products to youth. Raoul also joined a bipartisan coalition in November 2025 in issuing a letter to Shopify Inc., urging the company to take stronger action against merchants that use its services to sell illegal tobacco products, particularly e-cigarettes.

Joining Raoul in sending the letters are the attorneys general of Arizona, California, Connecticut, Delaware, Hawaii, Indiana, Maine, Maryland, Massachusetts, Michigan, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, Puerto Rico, Rhode Island, Tennessee, Vermont, Washington and Wisconsin, as well as the city of New York.

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