Moscow: Russia will sue cigarette maker British American Tobacco (BAT) for spreading misinformation and selling lower grade products than in Europe.

The accusations were levelled by state consumer watchdog Rospotrebnadzor said on Monday.

BAT, the maker of international brands Dunhill and Lucky Strike, denied the accusation.

"British American Tobacco maintains its activities in Russia are in full accordance with Russian law," BAT's director of corporate affairs in Russia, Alexander Lyuty, said.

The head of the watchdog, Gennady Onishchenko, told a press briefing: "These gentlemen are satisfied with Russia as an uncivilised market where they can sell products not according to European legislation which are dangerous and poisonous."

Onishchenko said he had already sent BAT the legal documents.

BAT denied receiving the documents.