Queen Apparel NY, and its sole owner, Hank Hyunho Choi, agreed to pay $50,000 and cease all future importing activities due to fraudulent underreporting of imports to evade customs duties, the U.S. Attorney's Office for the Southern District of New York said. Queen and Choi admitted to falsifying customs documents to skirt the import duties, leading to the settlement. The company made and imported garments for other companies that would then sell those garments through department stores and retail chains in the U.S., the U.S. Attorney's Office said. Choi managed the business. From 2009 to 2013, Choi and his company made the garments overseas, brought them to the U.S. and then repeatedly undervalued the shipments on customs forms to evade paying the proper amount of duties. This conduct was discovered via a whistleblower who filed a lawsuit under the False Claims Act, the U.S. Attorney's Office said. The case was settled, with the eventual agreement containing admissions from Queen and Choi about the nature of their business and conduct during the relevant time period.

The Court of International Trade granted the Department of Justice's motion to stay a case challenging the expansion of Section 232 duties on steel and aluminum “derivatives,” in an Oct. 14 order, due in part to the defendant's likelihood of succeeding on appeal. Finding that a recent U.S. Court of Appeals for the Federal Circuit opinion indicates DOJ's chances of success at the appellate court, CIT also stayed any resulting liquidation but noted that the fact pattern in the present case reads differently from that of the recent Federal Circuit case.

An importer’s lawsuit against its customs broker for the broker’s alleged failure to stay on top of issues related to some FDA-regulated entries will continue, after a judge of the Western Washington U.S. District Court declined to halt the discovery process in the case. The broker says its terms and conditions cut its liability to a mere $200, but the judge said the importer’s arguments that those liability limits are invalid could be bolstered by more evidence.

A customs broker exam taker who is appealing his failing score is asking the Court of International Trade to overturn CBP’s denial of credit for seven questions from the April 2018 test. In a brief filed Oct. 1, Byungmin Chae says CBP erroneously graded his customs broker exam, denying him a broker license on its mistaken finding that he did not score 75 percent or higher.

The following lawsuits were filed at the Court of International Trade during the week of Sept. 27 - Oct. 3:

The following lawsuits were filed at the Court of International Trade during the week of Sept. 20-26:

George Iloulian, CEO of apparel company Delta Uniforms of New York, skimped on import duties by understating the true value of his company's imports, the U.S. Attorney's Office for the Southern District of New York said. Arrested on Sept. 23, Iloulian was then presented in Manhattan federal court where the civil fraud lawsuit was unsealed. Iloulian is accused of violating the False Claims Act by lying on entry documents submitted to CBP.

The following lawsuits were filed at the Court of International Trade during the week of Sept. 13-19:

The Court of International Trade rejected an importer's bid for reconsideration of its challenge of the countervailing duty rate assessed on its tire imports. The court found for the second time that the importer lacked proper jurisdiction due to an untimely filed protest of a liquidation decision. “The lesson is both clear and stark: Don’t sit on your rights,” Judge Stephen Alexander Vaden said.

The U.S. District Court for the District of Puerto Rico ordered Puerto Rican companies Pharmacare and China District PR and their owner, Juan Reynoso, to stop importing dangerous children's toys, the Department of Justice said. The toys, along with other consumer products, violated the Consumer Product Safety Act and the Federal Hazardous Substances Act, among other laws, warranting an order from the court permanently enjoining the products' entry, DOJ said. The products allegedly had dangerous levels of lead and phthalates, according to the U.S.'s complaint against Reynoso and his companies. The Consumer Product Safety Commission has collected a total of 116 samples of these products since 2017, with 32 coming from Pharmacare and 84 from China District. These goods also included bicycle helmets, rattles and pacifiers that did not meet safety or labeling requirements, the DOJ complaint said.