Law Firm Accounts

The documents contain information about two special accounts, Special Account 4 and Special Account 5. (We have no information about Special Accounts 1, 2, 3, or numbers above 5, or even whether such accounts existed.) Special Accounts 4 and 5 supported research projects and consultancies with money provided directly by law firms. Special Account 4 was administered by Jacob and Medinger. It was one of several special accounts maintained by law firms and administered by lawyers. These accounts funded research by expert witnesses in preparation of testimony directly related to a particular case, or prepared witnesses to testify at congressional or other hearings, or supported other research deemed useful by the lawyers {1000.01, p. 44}.

In a 1978 memo to the counsels for the tobacco companies, William Shinn of Shook, Hardy, and Bacon explains how Special Account 4 is administered:

This account is administered by Jacob & Medinger and Ed Jacob and I have reviewed the enclosed report. I also enclose a memorandum with regard to funding of projects and would appreciate your advice if you find this to be incorrect in any way. There is probably no need for you to retain those notes once you have satisfied yourself of the current situation. {2010.01, p. 1}.

The notes are not among the documents.

As shown in table 8.1, seventy-two projects (forty-nine research projects and twenty-three consultancies) were funded between 1976 and 1993 through these special accounts. The documents describe only one project funded through Special Account 5 (table 8.1) and do not contain a clear explanation of the difference between Special Accounts 4 and 5. The Special Account 5 project appears to have been a consultancy, because two individuals received $637,000 between 1979 and 1983 to analyze policy issues dealing with control and regulation of routine behavior in a democratic society. The analyses generated from this project may have been used for the tobacco industry's smokers' rights campaigns.

Special Account 4: Projects And Consultancies

Most of the research projects funded through Special Account 4 described in the documents are related to environmental tobacco smoke (table 8.1). For example, the purpose of four of the Special Account 4 research projects was to measure levels of tobacco smoke in the environment. Other Special Account 4 research projects studied potential confounding factors for adverse health effects associated with smoking. For example, projects examined genetic factors associated with disease or the influence of low-protein diets or psychological stress on pregnancy outcomes. Funding research projects such as these, which divert attention from research on the adverse health effects of tobacco, has been a long-standing tactic of the tobacco industry (1, 11).

Twenty-four of the consultancies funded through Special Account 4 were to support the preparation of statements for hearings on public smoking restrictions (table 8.1). Individuals were paid from $2,500 to $4,000 to prepare these statements. As described later in this chapter, the statements favored the tobacco industry's position that smoking in public places should not be regulated. The Special Account 4 consultancies also supported the preparation of reviews of the scientific literature on topics ranging from the "tobacco habit" to lung retention of particulate matter. As was noted earlier, tobacco industry–sponsored

reviews published in symposia proceedings consistently favor the industry's position that tobacco is not harmful (9). Some individuals were also paid for "continuing consultancies" for unspecified purposes. These continuing consultancies ranged from $500 to $1,500 per month and up.

Special Account 4: Domingo Aviado

The documents describe in detail the Special Account 4 consultancy that was awarded to Dr. Domingo Aviado. Domingo Aviado was a faculty member (rising from assistant professor to professor) in the Department of Pharmacology at the University of Pennsylvania from 1953 through 1977. A well-respected researcher on the effects of various airborne pollutants on health, he published extensively and served on numerous government committees. A May 9, 1977, letter from William Shinn of Shook, Hardy, and Bacon to the counsels for the tobacco companies indicates that Dr. Aviado received grant support from CTR during his years at the University of Pennsylvania, but that he is now requesting funding directly from the companies while he is in his new position:

Dr. Aviado was supported until January 1 of this year by the Council for Tobacco Research—U.S.A. but has been advised that his latest application for funds was not approved. {2007.02, p. 1}

Shinn recommends that Aviado's request for $85,000 be approved for the period July 1, 1977, to June 30, 1978.

In 1977 Dr. Aviado left the University of Pennsylvania and became senior director for Biomedical Research Corporate Medical Affairs, Allied Chemical Corporation. In an October 24, 1979, letter Shinn tells the counsels for the tobacco companies that Dr. Aviado plans to leave Allied Chemical and proposes that he be supported by the tobacco industry in an amount equal to his annual total compensation at his previous position.

Dr. Aviado is planning to leave Allied Chemical. ...

Dr. Aviado is currently earning $75,000 in salary. He also receives an annual bonus, fringe benefits and a travel account that bring his total compensation to over $100,000.

I seek authority to make a grant or set up some other arrangement with Dr. Aviado for an estimated total cost of $100,000. ...

Dr. Aviado has been most helpful in evaluating research proposals, suggesting various projects and conducting a continuing literature search in several important areas such as carbon monoxide and "dependency." {2007.05, pp. 1–2}

Letters from Patrick Sirridge of Shook, Hardy, and Bacon to the counsels for the tobacco companies indicate that Dr. Aviado formed his own consulting organization in 1980 and that this organization was supported by Special Account 4 through 1985. In addition, the letters describe the importance of Dr. Aviado's work to the industry. This correspondence provides an instructive chronology of work of interest to the industry. The letters confirm that the tobacco industry sought to benefit from Aviado's good reputation as a retired scientist and from his membership on government committees, such as the EPA Clean Air Advisory Committee. Excerpts from the letters, outlining the chronology of his support, are given below:

Letter dated February 6, 1981:

A grant of $80,000 was given to Dr. Domingo Aviado during 1980. ...

During 1980, Dr. Aviado formed his own consulting organization named Atmospheric Health Sciences, Inc. He devoted approximately 150 days of the working year to projects related to smoking and health. His projects included an ongoing review of smoking and health literature, preparations of recommendations re research projects, several site visits to research institutions and the preparation of materials relating to our work on various smoking and health related matters. Without question, Dr. Aviado's efforts were of immense benefit to us. {2007.08, p. 1}

Letter dated February 8, 1982:

In 1981, a grant of $92,000 was given to Dr. Domingo Aviado. ...

During 1981, he devoted approximately 160 days of the working year to projects related to smoking and health. These projects included an ongoing review of smoking and health literature, preparations of recommendations regarding research projects, several site visits to research institutions and the preparation of statements and critiques relating to our work on various smoking and health related matters. Dr. Aviado was especially active in the areas of public smoking, self-extinguishing cigarettes and occupation-related diseases.

Dr. Aviado remains an extremely important resource for us in our smoking and health work. He also is a valuable source of information by reason of his membership on the EPA Clean Air Advisory Committee ... [emphasis added]. {2007.10, p. 1}

Letter dated January 26, 1983:

For the past three years, Dr. Domingo Aviado has received a Special Fund 4 grant for the support of his consulting activities in the smoking and health area. In 1982, the amount of the grant was $102,000. ...

During 1982, he devoted approximately 190 days of the working year to projects related to smoking and health. These projects included an ongoing review of smoking and health literature, preparation of recommendations re-

garding research projects, several site visits to research institutions, the preparation of statements (including one for the Waxman/Hatch hearings) , and the analysis of ongoing technical issues related to our work in the smoking and health area. ...

Dr. Aviado continues to be a valuable source of information by reason of his work for the EPA Clean Air Advisory Committee ... [emphasis added]. {2007.13, p. 1}

Letter dated February 1, 1984:

For the past four years, Dr. Domingo Aviado has received a Special Fund 4 grant in support of his consulting activities in the smoking and health area. In 1983, the amount of the grant was $102,000. ...

During 1983, he devoted approximately 195 days of the working year to projects related to smoking and health. These projects included an ongoing review of the relevant literature, preparation of recommendations regarding research projects, the preparation of statements (including two for the Waxman/Hatch hearings), attendance at various scientific meetings , and the analysis of ongoing technical issues relating to our work in the smoking and health area. Dr. Aviado was especially busy in the areas of public smoking, occupation-related diseases, and the possible effects of tobacco smoke constituents/ingredients.

Dr. Aviado continued his technical association with the EPA Clean Air Advisory Committee. ...

As you may remember, Dr. Aviado attended both the Fifth World Conference on Smoking and Health and the Rylander Symposium during 1983 [emphasis added]. {2007.16, pp. 1–2}

(Aviado does not appear to have made a presentation at the Fifth World Conference.) The Rylander symposium was a tobacco industry–sponsored scientific meeting on environmental tobacco smoke; participants presented research criticizing the data on passive smoke and suggesting that passive smoke is not harmful (9).

Letter dated February 8, 1985:

For the past five years, Dr. Domingo Aviado has received a Special Fund 4 grant in support of his consulting activities in the smoking and health area. In 1984, the amount of the grant was $102,000 for professional time and expenses. We recommend that Dr. Aviado be given support in 1985 in the same amount ($102,000) to be funded again through Special Fund 4.

During 1984, he devoted approximately 204 days of the working year to projects related to smoking and health. These projects included his ongoing review of generally relevant literature, special reviews of literature relating to bronchogenic carcinoma, environmental carcinogenesis and pulmonary metastases, analysis of environmental tobacco smoke materials and preparation of related critiques, attendance at various scientific meetings, work on the smoking aboard aircraft issue and participation at a CAB [Civil

Aeronautics Board] hearing , and analysis of studies involving atherosclerosis and smoking behavior. Dr. Aviado has been especially busy in the last few months working with the newly formed industry committee on environmental tobacco smoke.

Dr. Aviado continued his informal association with the EPA Clean Air Advisory Committee and other governmental groups. ... He also continues to be helpful in identifying possible medical consultants in the New Jersey area [emphasis added]. {2007.18, pp. 1–2}

The chronology of Aviado's work illustrates a common tobacco industry technique to bootstrap its consultants' work into scientific authority that is used to try to influence legislation and smoking policy. Aviado was hired by industry lawyers to do work including critiques of evidence on tobacco's health dangers, which were presented at scientific meetings. In addition, Aviado's work included presentation of papers at symposia on tobacco and health sponsored by the tobacco industry that, not surprisingly, questioned the evidence linking tobacco to disease. The papers at the symposia were then cited in congressional testimony and other forums without featuring the fact that the symposium at which the papers were presented was industry funded. In addition, when Aviado submitted critical comments to the EPA regarding its risk assessment of environmental tobacco smoke and lung cancer, he did not mention his tobacco industry connections (1); we do not know whether he had disclosed his industry connections in earlier comments submitted to the CAB.