Still buying imports of dubious foreign origin from unrelated U.S. importers? Consider the case of Groeb Farms, Inc., which recently accepted criminal responsibility for fraudulently entered Chinese honey that had avoided $79 million in duties – despite not being directly involved in the honey’s importation.
The takeaway: Not being the importer of record for fraudulently entered goods does not insulate a “knowing” downstream buyer from criminal liability for that fraud.
In a new article published in The Metropolitan Corporate Counsel, partner Michael J. Coursey explains that the government now expects that all U.S. users and distributors of imports have already implemented and are maintaining rigorous supply chain procedures, and companies that haven’t done so face a heightened risk. Click here to read the article, “Honeygate II Highlights Supply Chain Risks For U.S. Buyers Of Imported Goods.”