Companies were charged with evading duties on Chinese imports.
Three sellers of shower doors and shower enclosures have agreed to pay more than $3 million to settle a government lawsuit alleging they tried to evade customs duties on imports of aluminum extrusions from China, the Department of Justice said last week.
According to the complaint filed in federal district court, California-based C.R. Laurence Co., Florida-based Southeastern Aluminum Products Inc. and Texas-based Waterfall Group LLC made false declarations to U.S. Customs and Border Protection about the country of origin to avoid paying antidumping and countervailing duties on aluminum extrusions made by Tai Shan Golden Gain Aluminum Products.
The three companies transshipped the products through Malaysia and claimed it as the country of origin. Imports of Chinese-made aluminum extrusions have been subject to extra duties since 2010 when the Department of Commerce determined the products were being sold at unfair prices, with the help of Chinese government subsidies.
The government also alleged that the companies bought Chinese-made aluminum extrusions imported by other domestic companies and conspired with them to make false declarations to CBP to evade those duties.
C.R. Laurence will pay $2.3 million to settle the suit, which was brought under the False Claims Act. Southern Aluminum will pay $650,000 and Waterfall Group will pay $100,000.
The case was brought to the attention of law enforcement officials by a whistleblower, who is now eligible to receive $555,100 as his share of the settlement because he initiated the lawsuit.
U.S. reaches $3 million settlement for anti-dumping violations
