DOJ's Trade Fraud Task Force plans to model its tariff enforcement efforts after the DOJ Health Care Fraud Unit's "data-drive playbook to develop leads," DOJ Criminal Division Senior Counsel Cody Herche said at the American Conference Institute's annual anti-corruption conference, according to attorneys at Morgan Lewis. The attorneys said Herche's comment indicates "potential criminal violations of US tariff laws," including the False Claims Act and the statute against smuggling goods into the U.S.
The following lawsuits were filed at the Court of International Trade during the week of Nov. 24-30:
Following the Supreme Court's oral argument in the lead cases on whether the president can use the International Emergency Economic Powers Act to impose tariffs, various trade lawyers speculated that the high court now appears poised to strike down the tariffs.
Electronics importer Harman International Industries agreed to pay more than $11.8 million to settle allegations it evaded antidumping and countervailing duties on aluminum extrusions from China, the U.S. Attorney's Office for the Eastern District of Michigan announced on Nov. 26.
The Court of International Trade on Nov. 26 granted the government's motion for rehearing in a customs dispute on the classification of certain radial, web and chordal segments imported by Honeywell and used in airplane brakes, changing the classification of the parts to "fabrics" under Harmonized Tariff Schedule heading 6307. Judge Mark Barnett reversed his previous holding that the goods are "parts of an aircraft" under heading 8803, subjecting the items at issue to a 7% duty under subheading 6307.90.98.
CBP's regulations regarding the notice provided to importers subject to Enforce and Protect Act investigations and when CBP must initiate those investigations violated an importer's due process rights, the Court of International Trade held on Nov. 26.
The following lawsuits were filed at the Court of International Trade during the week of Nov. 17-23:
CBP lacked the authority to reliquidate three drawback claims regarding three jewelry entries made by Importer Zale Delaware, since the drawback claims deemed liquidated, Zale argued in a Nov 24 complaint at the Court of International Trade (Zale Delaware v. United States, CIT # 25-00139).
Able Groupe, an infant formula retailer, pleaded guilty on Nov. 21 to smuggling European infant formula into the U.S. and importing it in violation of the FDA's prior notice requirements, DOJ announced.
Danielle Cossey, a staff attorney at the Commerce Department, will leave the agency to join Sidley Austin, Cossey confirmed to us. She joined Commerce in the Office of the Chief Counsel for Trade Enforcement and Compliance in 2023 after graduating from the George Washington University Law School. Cossey will start at Sidley on Dec. 1.