A New Hampshire judge has ordered a business that sells pipe tobacco to customers who roll their own cigarettes to make payments into a national tobacco settlement fund or stop selling the tobacco for that purpose.

Tobacco Haven in Brookline had installed two high-speed cigarette making machines. The attorney general's office said it would sell its customers pipe tobacco and empty cigarette tubes, then instruct them on how to use the machines to make the equivalent of a carton of cigarettes for less than the retail price.

Store owner Joseph Correia said that the machines allowing customers to roll their own cigarettes have been popular and that Tobacco Haven is the only business in the state that has them.

The attorney general's office sued in August, asking the court to determine Tobacco Haven is essentially a cigarette manufacturer because it was using pipe tobacco in the machines, instead of roll-your-own tobacco, a finer cut. Assistant Attorney General David Rienzo said Monday the excise tax on roll-your-own tobacco has gone up dramatically, but it has increased very little on pipe tobacco.

"To the extent it's using pipe tobacco for use in its machines, it is manufacturing cigarettes, because it is turning what is not a cigarette - pipe tobacco - into a cigarette" through the use of the machines, Rienzo said.

Tobacco Haven argued it wasn't a manufacturer.

The store is appealing, asking for reconsideration of the judge's order or for a case transfer to the state Supreme Court, lawyer Jeffrey Burd said.