A U.S. appeals court has ruled against a whistleblower who alleged Amazon helped foreign fur manufacturers evade tariffs on Amazon's platform. The court found insufficient evidence to prove Amazon's knowledge of fraudulent activities. This decision upheld a lower court judge's dismissal.
The U.S. 2nd Circuit Court of Appeals found no evidence that Amazon knew or deliberately ignored that foreign manufacturers paid artificially low tariffs by understating the value of their shipments and failed to pay U.S. Fish and Wildlife Service inspection fees.
Palen Henig, owner of Henig Furs, argued that Amazon violated the False Claims Act by shortchanging the federal government. The appeals court ruled that below-market prices alone cannot prove intentional conduct. The decision upheld a lower court judge's dismissal
Amazon Tariff Evasion False Claims Act 2Nd U.S. Circuit Court Of Appeals Palen Henig
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