Bureau of Industry and Security (BIS)

Customs and Border Protection (CBP)

  • April 14, 2014: Federal Circuit Upholds $1.8 Million Judgment Against Lumber Company in Customs Dispute. In a suit originally brought by the U.S. Customs and Border Protection, the Federal Circuit affirmed the U.S. Court of International Trade's January 2013 decision that Millennium Lumber Distribution Co. Ltd. and XL Specialty Insurance Co. owed around $1.83 million, plus interest, for the company's failure to obtain export permits for shipments that were subject to the U.S. – Canada Softwood Lumber Agreement.

False Claims Act (FCA)

  • April 10, 2014: $10 Million Settlement in Apparel Duty Evasion Suit. Two apparel importers settled a False Claims Act suit after admitting to fraudulently undervaluing imports to avoid millions of dollars in tariffs at the border.
  • April 21, 2014: OtterBox Agrees to Pay $4.3 Million to Settle FCA Customs Suit. Otter Products LLC (OtterBox) decided to settle a former employee's allegations that it violated the FCA and the Tariff Act of 1930 by knowingly underpaying customs duties owed to the government.  The government said that OtterBox failed to disclose the value of "assists" from the dutiable value it declared to the U.S. Customs and Border Protection on entry documents for imported products, among other allegedly false statements.

Financial Crimes Enforcement Network (FinCEN)

Office of Foreign Assets Control (OFAC)

Securities and Exchange Commission (SEC) – FCPA

  • April 9, 2014: SEC Charged HP With Violating the FCPA and HP Agreed to Pay $108 Million to Settle. The SEC's order instituting the settlement found that HP's Russian subsidiary paid more than $2 million through agents and shell companies to a Russian government official to retain a multi-million dollar contract with the federal prosecutor's office. The order also stated that HP's subsidiary in Poland provided gifts and cash bribes, valued over $600,000, to government officials to obtain national police academy contracts. The SEC also found that HP's subsidiary in Mexico paid more than $1 million in inflated commissions to a consultant with close ties to company officials, and the money was then funneled to one of those officials. HP agreed to settle Foreign Corrupt Practices Act (FCPA) charges for over $108 million.