A State Department notice declaring that all agency efforts to control international trade now constitute a "foreign affairs function" of the U.S. under the Administrative Procedure Act will ultimately be subject to the discretion of the courts, trade lawyers told us.
Four Indonesian citizens filed suit on March 12 in a California federal court alleging that tuna seller Bumble Bee Foods violated the Trafficking Victims Protection Reauthorization Act by knowingly benefiting from a venture that engaged in forced labor. The four individuals -- Akhmad, Angga and Muhammad Sahrudin and Muhammad Syafi'i -- said they worked as laborers on longline fishing vessels that Bumble Bee sourced its albacore tuna from and alleged that the company knowingly benefited from their forced labor (Akhmad Sahrudin v. Bumblee Bee Foods, S.D. Cal. # 3:25-00583).
The following lawsuits were filed at the Court of International Trade during the weeks of Feb. 10-16, Feb. 17-23, Feb. 24 - March 2 and March 3-9:
Serina Baker-Hill, director of CBP's Automotive and Aerospace Center of Excellence and Expertise in Detroit, has been charged in an indictment unsealed on March 12 with defrauding the Federal Emergency Management Agency, making false statements to federal agents and committing wire fraud, the U.S. Attorney's Office for the Eastern District of Michigan announced.
Alexandra Hess, a former official at CBP, has rejoined Cassidy Levy as a partner in the Washington, D.C., office, the firm announced on LinkedIn. At CBP, Hess served as branch chief for entry process and duty refunds in the Office of Regulations & Rulings, where she "issued rulings and advice" on "the entry process, duty drawback, de minimis, reconciliation, bonding, antidumping and countervailing duties, temporary importation under bond, foreign trade zones, right to make entry, broker compliance and management, and quota," the firm said.
The Trump administration plans to "aggressively" enforce the False Claims Act, Deputy Assistant Attorney General Michael Granston said during the Federal Bar Association's qui tam conference last week, attorneys at McGuire Woods said. While most FCA enforcement action is taken in the field of healthcare, Granston said that DOJ will center future FCA enforcement on other Trump policy priorities, including customs fraud and "illegal foreign trade practices."
President Donald Trump's directive in his proclamation expanding Section 232 steel tariffs to assess penalties for the misclassification of entries resulting in non-payment of the duties without regard for "evidence of mitigating factors" may run afoul of existing customs laws, trade lawyers said. Even if the directive stays within the bounds of the current statutory scheme, expect more prior disclosures and proactive steps to ensure the proper customs treatment of steel entries, the lawyers added.
The following lawsuits were filed at the Court of International Trade during the week of Feb. 3-9:
President Donald Trump's recent expansion of Section 232 steel and aluminum tariffs likely would survive a judicial challenge, particularly in light of the string of cases challenging the Section 232 duties imposed during his first term, trade lawyers told us. Thomas Beline, partner at Cassidy Levy, said Trump's move to eliminate the country-specific arrangements and product exclusions is "likely defensible," since the statute lets the president take any action he deems necessary where an agreement is "not being carried out or is ineffective."
A California customs broker pleaded guilty Feb. 7 to defrauding importers out of more than $5 million and committing over $1 million in tax evasion, the U.S. Attorney's Office for the Central District of California announced. The broker, Frank Seung Noah, copped to two counts of wire fraud, for which he faces up to 20 years in prison each, and one count of tax evasion, for which he faces five years in prison.