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Seko Files Lawsuit Seeking Reinstatement Into Type 86 Program

Seko, a customs brokerage based in Illinois that can no longer file Type 86 entries after CBP suspended it from the program last week, is asking the Court of International Trade to force CBP to reinstate it through an injunction.

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Seko, which is the only company that has been reported in the U.S. press to be among "multiple" filers who were suspended for non-compliance, said that CBP requested documentation in July 2023 for 10 Type 86 entries, and told the company it found "significant non-compliant" filings in that sample. But CBP didn't give specifics, nor did it respond to Seko's proposed remedial action plan.

On Jan. 22, CBP asked for documentation for another 10 Type 86 entries, and Seko never heard more about that sample. But on May 17, CBP told Seko it was suspended from the Customs-Trade Partnership Against Terrorism program for Type 86 non-compliance, and on May 20, CBP notified Seko it was suspended from the Type 86 pilot, effective May 27.

Seko said it has lost business to others that handle Type 86 filings, and that CBP violated the Administrative Procedures Act’s requirements that Seko be granted notice and opportunity to respond to alleged violations, as well as be provided sufficient information regarding its alleged transgressions.