International Trade Law News

The Bureau of Industry and Security (BIS) has imposed an $8,000 civil penalty on Bear Basin Outfitters, a California-based distributor of optical equipment to law enforcement and sportsmen, for exporting optical sighting devices without the required export licenses. This penalty was imposed after Bear Basin Outfitters had disclosed to BIS that the company had made 64 unlicensed exports of optical sighting devices for firearms (classified as ECCN 0A987) from the U.S. to various countries, including Canada, Sweden and Switzerland, from December 2000 through February 2005.

This case is a good example of the dramatic reduction in penalties now available to companies that voluntarily disclose export violations to BIS. If a voluntary disclosure had not been made BIS could have imposed a civil penalty of up to $704,000 on the company for engaging in the 64 unlicensed exports ($11,000 per violation).