International Trade Law News

The Commerce Department's Bureau of Industry and Security (BIS) today announced the settlement of two enforcement cases involving violations of the antiboycott provisions of the Export Administration Regulations (EAR).

In the first case, National-Oilwell L.P. (NOW) of Houston, Texas, agreed to pay a $3,000 civil penalty to settle allegations that it violated the antiboycott regulations. BIS charged that, on one occasion in 2001 in connection with transactions involving the sale and ultimate transfer of goods from the United States to Syria, NOW furnished prohibited information about its business relationships with Israel in violation of the EAR. BIS also charged that NOW failed to report in a timely manner its receipt of the request from an intermediary in Croatia to provide such certification. The company voluntarily disclosed the transactions and cooperated fully with the investigation.

In the second case, H. D. Sheldon & Company Inc. (Sheldon), a New York-based factory export representative for foodservice equipment and supplies, agreed to pay a $13,500 civil penalty to settle allegations that it violated the antiboycott regulations. BIS alleged that, on two occasions in connection with transactions involving the sale and transfer of goods from the United States to Bahrain and Qatar, Sheldon furnished prohibited information about another company's business relationships with Israel in violation of the EAR. BIS also alleged that, on five occasions, Sheldon failed to report in a timely manner its receipts of requests from Dubai to provide such certification.