[Federal Register Volume 61, Number 62 (Friday, March 29, 1996)]
[Notices]
[Pages 14204-14206]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-7717]



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DEPARTMENT OF THE TREASURY
Customs Service


List of Foreign Entities Violating Textile Transshipment and 
Country of Origin Rules

AGENCY: U.S. Customs Service, Department of the Treasury.

ACTION: General Notice.

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SUMMARY: This document notifies the public of foreign entities which 
have

[[Page 14205]]
been issued a penalty claim under section 592 of the Tariff Act, for 
certain violations of the customs laws. This list is authorized to be 
published by section 333 of the Uruguay Round Agreements Act.

FOR FURTHER INFORMATION CONTACT: For information regarding any of the 
operational aspects, contact Michael Compeau, Branch Chief, Seizures 
and Penalties Division, at 202-927-0762. For information regarding any 
of the legal aspects, contact Lars-Erik Hjelm, Office of Chief Counsel, 
at 202-927-6900.

SUPPLEMENTARY INFORMATION:

Background

    Section 333 of the Uruguay Round Agreements Act (URAA)(Public Law 
103-465, 108 Stat. 4809)(signed December 12, 1994), entitled Textile 
Transshipments, amended Part V of title IV of the Tariff Act of 1930 by 
creating a section 592A (19 U.S.C. 1592A), which authorizes the 
Secretary of the Treasury to publish in the Federal Register, on a 
biannual basis, a list of the names of any producers, manufacturers, 
suppliers, sellers, exporters, or other persons located outside the 
Customs territory of the United States, when these entities have been 
issued a penalty claim under section 592 of the Tariff Act, for certain 
violations of the customs laws, provided that certain conditions are 
satisfied.
    The violations of the Customs laws referred to above are the 
following: (1) Using documentation, or providing documentation 
subsequently used by the importer of record, which indicates a false or 
fraudulent country of origin or source of textile or apparel products; 
(2) Using counterfeit visas, licenses, permits, bills of lading, or 
similar documentation, or providing counterfeit visas, licenses, 
permits, bills of lading, or similar documentation that is subsequently 
used by the importer of record, with respect to the entry into the 
customs territory of the United States of textile or apparel products; 
(3) Manufacturing, producing, supplying, or selling textile or apparel 
products which are falsely or fraudulently labeled as to country of 
origin or source; and (4) Engaging in practices which aid or abet the 
transshipment, through a country other than the country of origin, of 
textile or apparel products in a manner which conceals the true origin 
of the textile or apparel products or permits the evasion of quotas on, 
or voluntary restraint agreements with respect to, imports of textile 
or apparel products.
    If a penalty claim has been issued with respect to any of the above 
violations, and no petition in response to the claim has been filed, 
the name of the party to whom the penalty claim was issued will appear 
on the list. If a petition, supplemental petition or second 
supplemental petition for relief from the penalty claim is submitted 
under 19 U.S.C. 1618, in accord with the time periods established by 
Secs. 171.32 and 171.33, Customs Regulations (19 CFR 171.32, 171.33) 
and the petition is subsequently denied or the penalty is mitigated, 
and no further petition, if allowed, is received within 30 days of the 
denial or allowance of mitigation, then the administrative action shall 
be deemed to be final and administrative remedies will be deemed to be 
exhausted. Consequently, the name of the party to whom the penalty 
claim was issued will appear on the list. However, provision is made 
for an appeal to the Secretary of the Treasury by the person named on 
the list, for the removal of its name from the list. If the Secretary 
finds that such person or entity has not committed any of the 
enumerated violations for a period of not less than 3 years after the 
date on which the person or entity's name was published, the name will 
be removed from the list as of the next publication of the list.

Reasonable Care Required

    Section 592A also requires any importer of record entering, 
introducing, or attempting to introduce into the commerce of the United 
States textile or apparel products that were either directly or 
indirectly produced, manufactured, supplied, sold, exported, or 
transported by such named person to show, to the satisfaction of the 
Secretary, that such importer has exercised reasonable care to ensure 
that the textile or apparel products are accompanied by documentation, 
packaging, and labeling that are accurate as to its origin. Reliance 
solely upon information regarding the imported product from a person 
named on the list is clearly not the exercise of reasonable care. Thus, 
the textile and apparel importers who have some commercial relationship 
with one or more of the listed parties must exercise a degree of 
reasonable care in ensuring that the documentation covering the 
imported merchandise, as well as its packaging and labeling, is 
accurate as to the country of origin of the merchandise. This degree of 
reasonable care must rely on more than information supplied by the 
named party.
    In meeting the reasonable care standard when importing textile or 
apparel products and when dealing with a party named on the list 
published pursuant to section 592A of the Tariff Act of 1930, an 
importer should consider the following questions in attempting to 
ensure that the documentation, packaging, and labeling is accurate as 
to the country of origin of the imported merchandise. The list of 
questions is not exhaustive but is illustrative.
    (1) Has the importer had a prior relationship with the named party?
    (2) Has the importer had any detentions and/or seizures of textile 
or apparel products that were directly or indirectly produced, 
supplied, or transported by the named party?
    (3) Has the importer visited the company's premises and ascertained 
that the company has the capacity to produce the merchandise?
    (4) Where a claim of substantial transformation is made, has the 
importer ascertained that the named party actually substantially 
transforms the merchandise?
    (5) Is the named party operating from the same country as is 
represented by that party on the documentation, packaging or labeling? 
    (6) Have quotas for the imported merchandise closed or are they 
nearing closing from the main producer countries for this commodity?
    (7) What is the history of this country regarding this commodity?
    (8) Have you asked questions of your supplier regarding the origin 
of the product?
    (9) Where the importation is accompanied by a visa, permit, or 
license, has the importer verified with the supplier or manufacturer 
that the visa, permit, and/or license is both valid and accurate as to 
its origin? Has the importer scrutinized the visa, permit or license as 
to any irregularities that would call its authenticity into question?
    The law authorizes a biannual publication of the names of the 
foreign entities. On September 28, 1995, Customs published a Notice in 
the Federal Register (60 FR 50239) which identified 9 entities which 
fell within the purview of section 592A of the Tariff Act of 1930.

592A List

    For the period ending March 31, 1996, Customs has identified 8 
(eight) foreign entities that fall within the purview of section 592A 
of the Tariff Act of 1930. This list reflects the removal of 5 names 
from the list published in September 1995, and the addition of 4 new 
entities. The parties on the current list were assessed a penalty claim 
under 19 U.S.C. 1592, for one or more of the four above-described 
violations. The

[[Page 14206]]
administrative penalty action was concluded against the parties by one 
of the actions noted above as having terminated the administrative 
process.
    The names and addresses of the 8 foreign parties which have been 
assessed penalties by Customs for violations of section 592 are listed 
below pursuant to section 592A. This list supersedes any previously 
published list.

Bestraight Limited, Room 5K, World Tech Centre, 95 How Ming Street, 
Kwun Tong, Kowloon, Hong Kong.
Cotton Breeze International, 13/1578 Govindpuri, New Delhi, India.
Hangzhou Tongda Textile Group, Room 918, Hangzhou Mansion, No. 1 Wulin 
Square, Hangzhou, China.
Hanin Garment Factory, 31 Tai Yau Street, Kowloon, Hong Kong.
Hip Hing Thread Company, No. 10, 6/F Building A, 221 Texaco Road, 
Waikai Industtrial Centre, Tsuen Wan, N.T. Hong Kong.
Poshak International, H-83 South Extension, Part-I (Back Side), New 
Delhi, India.
United Fashions, C-7 Rajouri Garden, New Delhi, India.
Yunnan Provincial Textiles Import & Export, 576 Beijing Road Kunming, 
Yun Nan, China.

    Any of the above parties may petition to have its name removed from 
the list. Such petitions, to include any documentation that the 
petitioner deems pertinent to the petition, should be forwarded to the 
Assistant Commissioner, Office of Field Operations, United States 
Customs Service, 1301 Constitution Avenue, Washington, D.C. 20229.

Additional Foreign Entities

    In the September, 1995 Federal Register notice, Customs also 
solicited information regarding the whereabouts of 40 foreign entities, 
which were identified by name and known address, concerning alleged 
violations of section 592. Persons with knowledge of the whereabouts of 
those 40 entities were requested to contact the Assistant Commissioner, 
Office of Field Operations, United States Customs Service, 1301 
Constitution Avenue, Washington, D.C. 20229.
    As a result of information received in response to the 
solicitation, 6 names were removed from the list. In this document, a 
new list is being published which contains the names and last known 
address of 37 entities. This reflects the removal of 6 names from the 
previous list and the addition of 3 new entities to the list.
    Customs is soliciting information regarding the whereabouts of the 
following 37 foreign entities concerning alleged violations of section 
592. Their name and last known address are listed below:

Bahadur International, 250 Naraw Industrial Area, New Delhi, India.
Madan Exports, E-106 Krishna Nagar, New Delhi, India.
Gulnar Fashion Export, 14 Hari Nagar, Ashram, New Delhi, India.
Janardhan Exports, E-106 Krishna Nagar, New Delhi, India.
Morrin International, E-106 Krishna Nagar, New Delhi, India.
Jai Arjun Mfg., Co., B 4/40 Paschim Vihar, New Delhi, India.
Eroz Fashions, 535 Tuglakabad Extension, New Delhi, India.
China Artex Corp. Beijing Arts, 132-16 Changan Avenue, Beijing, China.
Shenzhen Long Gang Ji Chuen, Shenzhen, Long Gang Zhen, China.
Traffic, D1/180 Lajpat Nagar, New Delhi, India.
Raj Connections, E-106 Krishna Nagar, Delhi, India.
Bao An Wing Shing Garment Factory, Ado Shi Qu, Bao An Shen Zhen, China.
Guidetex Garment Factory, 12 Qian Jin Dong Jie, Yao Tai Xian Yuan Li, 
Canton, China.
Dechang Garment Factory, Shantou S.E.Z., Cheng Hai, Cheng Shing, China.
Guangdong Provincial Improved, 60 Ren Min Road, Guangdong, China.
Kin Cheong Garment Factory, No. 13 Shantan Street, Sikou Country, 
Taishan, Kwangtong, China.
Gold Tube Ltd., No. 55 Hung To Road, Kwun Tong, Kowloon, Hong Kong.
Sam Hing Bags Factory, Ltd., #35 Tai Ping West Road, Jiu Jaing, 
Ghangdong, China.
Luen Kong Handbag Factory, 33 Nanyuan Road, Shenzhen, Guangdong, China.
Changping High Stage Knitting, Yuan Jing Yuan, Chau Li Qu Chang, 
Guangdong, China.
Arsian Company Ltd, XII Khorcolo, Waanbaatar, Mongolia.
Kin Fung Knitting Factory, Block A&B, 4th Flr Por Mee Bldg., 500 Casle 
Peak Rd., Kowloon, Hong Kong.
Cahaya Suria Sdn Bhd, Lot 5, Jalan 3, Kedah, Malaysia.
Crown Garments Factory Sdn Bhd, Lot 112, Jalan Kencana, Bagan Ajam, 
Malaysia.
Glee Dragon Garment Mfg.. Ltd., 328 Castle Peak Rd., Room G 10Fl, Tsuen 
Kam Centre, Kowloon, Hong Kong.
Richman Garment Manufacturing Co., Ltd., 7th Fl, Singapore Industrial 
Bldg., 338 Kwun Tong Road, Kowloon, Hong Kong.
Herrel Company , 64 Rowell Road, Suva, Fiji.
Belwear Co., Ltd., Flat C, 3rd Floor, Yuk Yat Street, Kowloon, Hong 
Kong.
Hambridge Ltd., 9 Fl., Lladro Building 72-80, Hoi Yuen Road, Kwun Tong, 
Kowloon, Hong Kong.
Kingston Garment Ltd., Lot 42-44 Caracas Dr., Kingston, Jamaica.
Moderntex International Inc., 3941, Kowloon, Hong Kong.
Poltex Sdn, 8 Jalan Serdang, Kedah, Malaysia.
Sam Hing International Enterprise, 5 Guernsey St., Guilford NSW, 
Australia.
Societe Prospere De Vetements S.A., Lome, Togo.
Confecciones Kalinda S.A., Zona Franca, Los Alcarrizos, Santo Domingo, 
Dominican Republic.
Royal Mandarin Knitworks Co., Flat C 21/F, So Tau Centre, 11-15 Sau 
Road, Kwai Chung, N.T., Hong Kong.
Wong's International, Nairamdliyn 26, Ulaanbaatar 11, Naaun, Mongolia.

    If you have any information as to a correct mailing address for any 
of the above 37 firms, please send that information to the Assistant 
Commissioner, Office of Field Operations, U.S. Customs Service, 1301 
Constitution Avenue, N.W., Washington, D.C. 20229.

    Dated: March 26, 1996.
Samuel H. Banks,
Assistant Commissioner, Office of Field Operations.
[FR Doc. 96-7717 Filed 3-28-96; 8:45 am]
BILLING CODE 4820-02-P