The Department of Justice reports that a U.S. company has agreed to pay at least $2.1 million to settle allegations under the False Claims Act that it deceptively undervalued imported goods to lessen tariff obligations and other import assessments.
The DOJ alleged that for more than three years the company knowingly submitted to U.S. Customs and Border Protection invoices that underreported the cost of goods purchased from a China-based manufacturer/assembler, and repeatedly failed to include the cost of items incorporated into packaged goods shipped from China to the U.S., when declaring the total values of the imported goods to CBP, thereby improperly reducing tariffs and other import assessments.
See related article in this issue for more information on how trade is a priority for the DOJ’s increased enforcement of the FCA.
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