US brand Alexis ordered to pay 7.7 million dollars for avoiding customs duties

US-based womenswear brand Alexis was ordered to pay just under 7.7 million dollars to settle a lawsuit that alleged it had been underpaying customs duties on imported apparel. The ruling was made by Markenzy Lapointe, US attorney for the Southern District of Florida, and Bruce Murley, acting director of field operations for US customs and border protection’s San Francisco/Portland office.

According to a press release from the US Attorney’s Office, the case was brought forward to a federal court in Miami by a whistleblower, whose allegations had initially been disputed by Alexis. As part of the settlement, however, the company “admitted and acknowledged errors and omissions with respect to imported women’s apparel, and occasionally accessories, during the 2015 through 2022 period”.

In light of the ruling, Alexis’ senior management said they would work with an expert trade counsel to “implement a robust set of internal and external procedures and corrective actions to prevent any future violations” while further ensuring accurate reporting moving forward.

In a statement, Lapointe said: “As this settlement demonstrates, the United States Attorney’s Office for the Southern District of Florida, along with our CBP partners, will, while continuing to hold accountable entities that engage in improper trade practices and deny our government vital revenues, work to resolve such matters in the interests of justice.”