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ARTICLE · 04 APRIL 2025

DOJ Settlement Highlights Customs, FCA Risks For Importers

Bass, Berry & Sims PLC
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On March 25, 2025, the U.S. Department of Justice (DOJ) announced an $8.1 million settlement in a civil case under the False Claims Act (FCA) related...

GlobalGovernment, Public Sector
Lindsey Brown Fetzer
Lindsey Brown Fetzer
Thaddeus R. McBride
Thaddeus R. McBride
Todd Overman
Todd Overman

On March 25, 2025, the U.S. Department of Justice (DOJ) announced an $8.1 million settlement in a civil case under the False Claims Act (FCA) related to alleged customs evasion by a California importer of wood flooring. The private whistleblower who reported the conduct received over $1.2 million in the matter. As we suggested in a blog post in February, these sorts of enforcement actions will proliferate under the Trump DOJ.

Importer Knowingly Evaded Paying Duties on Imports from China

According to the DOJ, Evolutions Flooring Inc. (Evolutions) and its owners, Mengya Lin and Jin Qian, knowingly evaded certain antidumping, countervailing, and Section 301 duties on multilayered flooring products from China. The company submitted false information to U.S. Customs and Border Protection (CBP) regarding the identity of the manufacturers and the country of origin of the imported flooring.

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