The Bureau of Industry and Security (BIS) has posted its seminar schedule from now until September of 2010! Seminar topics range from “How To Develop and Export Management and Compliance Program” to “Complying with U.S. Export Controls.” The full schedule and registration are here.
On September 16, 2009, the Transportation Security Administration (TSA) issued new air cargo screening rules. The rules are generally well thought out, except for one glaring problem.
Some background first. After the tragic, terrorist events of September 11, 2001, the U.S. Congress convened a Commission to investigate how it happened and how it could be prevented from happening again. A primary result was the “Implementing Recommendations of the 9/11 Commission Act of 2007 (“9/11 Act”). The amended law at 49 U.S.C. section 44901(g)(1) required all airlines to screen 50% of the cargo on passenger aircraft by February 3, 2009. The law also required 100% of the air cargo to be screened by August 3, 2010. The challenge was that with 12 million pounds of cargo that is now transported on passenger aircraft daily, the TSA concluded that airlines by themselves could not achieve the 100% screening requirement.
Hence, the September 16, 2009 Air Cargo Screening Interim Final Rule, effective November 16, 2009, created the certified cargo screening program (CCSP) so that companies other than airlines could be approved by TSA to screen cargo before it was delivered to an airline at the airport to be put in the belly of a passenger plane. The companies that would screen the cargo would be known as certified cargo screening facilities (CCSF).
The term “screening” is defined as a “physical examination or non-intrusive method of assessing whether cargo poses a threat to transportation security. Methods include x-ray systems, explosive detection, explosives detection canine teams, […]
Save the Date!
Please save November 12, 2009, for the Organization of Women in International Trades (OWIT) annual International Business Women of the Year (IBWOY) awards luncheon, honoring exemplary women in the South Florida international trade community. While the details are being fine tuned, I can say that we are doing something different this year. Typically, we raise money for a scholarship for a university student. However, this year, so many of us have been touched by cancer. We recently lost Bunny Schreiber, a beacon in the South Florida trade community, and one of our own Board members is currently fighting cancer. Therefore, this year we would like to raise money for breast cancer awareness and will donate proceeds of our silent auction to the Susan G. Komen foundation. If you have any items you’d like to include in the auction, or are interested in sponsorship, please contact me.
I have to say, I personally have truly enjoyed being a Board member of OWIT for the past four years, and hope you too will get involved! We will elect a new board this December for 2010, please express your interest. We’d love your feedback for future events, and would appreciate new faces on our committees!
It is common for an importer to receive a CBP Form 28 (Request for Information) and then a CBP Form 29 (Notice of Action) for incorrectly classifying merchandise. It is also relatively common for an importer to receive a Pre-Penalty Notice from U.S. Customs and Border Protection (Customs) alleging negligence, gross negligence, or fraud, and demanding tens or hundreds of thousands of dollars in monetary penalties and additional duties. Don’t panic.
When a CBP 28 or CBP 29 is issued by an Import Specialist of Customs to an importer, it may ultimately result in the issuance of a fraud penalty in violation of 19 U.S.C. 1592. If Customs alleges fraud, then the penalty will be equal to the total invoiced value of the shipments affected. For example, if a shipment of clothing valued at $100,000 was misdescribed or misdeclared in some way to Customs, and a fraud penalty is issued, the penalty will $100,000. If the penalty is not paid, the case is referred by Customs to the U.S. Department of Justice to pursue litigation against the importer. Sometimes, Customs seeks to collect money by personally naming the officers, shareholders, and/or managers of the company as well. That means joint and several liability, so even if the company is no longer in business or does not have the money to pay, the U.S. Department of Justice will seek the payment of the penalty from the persons involved.
Whenever a CBP 28 or 29 indicates that the importer is under “formal […]