The federal government relies on tariffs in an effort to protect certain industries from unfair trade practices abroad. However, these policies can dramatically increase the cost of doing business for companies that import from outside the United States. As costs increase, the incentive to fraudulently avoid these obligations can also increase.
The federal government lacks the resources to police tariff fraud, but they provide whistleblowers an option to earn a reward by sharing important information with the government. With the help of a dedicated whistleblower attorney, cooperating with the authorities could result in a monetary award. Let a South Carolina tariffs fraud whistleblower lawyer help you understand your options.
Tariff fraud can occur in various ways. Ultimately, importers are required to pay additional fees for goods sent from specific countries. The value of these items can impact the amount owed.
This type of fraud involves actions that evade these obligations. A tariffs fraud whistleblower attorney in South Carolina could assist with any of the following forms of fraudulent activity:
An important issue regarding tariffs is the country of origin of specific goods. The amount owed varies from country to country, so some importers can fail to mark where the goods come from to evade these obligations. Alternatively, they could be marked as if they were from a country unaffected by U.S. tariff policy.
The dollar value of goods entering this country directly impacts the amount of tariffs owed. For that reason, one of the most common types of fraud involves undervaluing these goods to pay less than what is truly owed.
Another way that some companies evade tariffs is by shipping goods from their country of origin through an intermediary. By sending these items to a country where the U.S. does not impose heavy tariffs and marking the goods as if they originated there, it is possible to drastically reduce the financial cost of importing through fraud.
When the False Claims Act is violated, federal law allows whistleblowers who provide information about fraud to cooperate with the authorities and be rewarded for their efforts. This is done through a type of lawsuit known as a writ of qui tam.
The writ can only be filed once a whistleblower supplies the government with information that is ultimately used to obtain a conviction. Even then, some people may never qualify for compensation, no matter how good their tips might be.
First and foremost, anyone involved in fraudulent activity may not recover compensation through a writ of qui tam. The same is true for members of law enforcement, given that they are already required to provide any information they have about illegal activity.
Finally, these lawsuits only succeed when the tips lead to criminal prosecutions. A tariffs fraud whistleblower lawyer in South Carolina could answer questions about when these claims may be successful.
You have the right to turn over any information regarding customs fraud to federal authorities. When you do, and this information leads to a conviction, you could recover a portion of any penalties recovered from the party committing the fraud.
Reach out to a South Carolina tariffs fraud whistleblower lawyer today to schedule an initial consultation.
