Importer Sentenced After Smuggling Banned Items
Products Contained Lead And Small Parts
Hung Lam, president of Miami-based LM Import-Export Inc., was sentenced to 22 months in federal prison and fined $10,000 after pleading guilty to conspiracy to traffic and smuggle in banned children's products. The items, federal officials said, contained lead and small parts in violation of laws enforced by the U.S. Consumer Product Safety Commission (CPSC).
"This result demonstrates how serious we are about protecting American consumers from dangerous products and defending our consumer product safety laws," said CPSC Chairman Inez Tenenbaum.
According to a CPSC statement, between April 2000 and May 2011, Lam and his corporations – LM Import-Export Inc., Lam's Investment Corp., and LK Toys Corporation – conspired to sell and distribute banned products that originated in China. The products "allegedly presented the risk of choking, aspiration, and ingestion, and some contained lead above the federal limits," the CPSC said. The products were illegally imported "by means of false statements on custom declaration forms."
As part of the case, officials also charged Isabella Kit Yeung with a misdemeanor count of importing goods without the required country of origin labeling. Yeung was sentenced to one year of probation and a $1,000 fine. A federal judge also imposed a forfeiture judgment and order in the amount of $862,500 against both defendants.
"The sentences handed down by the court against these repeat violators are a victory for consumers and the rule of law," Tenenbaum said. "I commend the staff at CPSC, Department of Justice, and Homeland Security for their cooperation and success in bringing the defendants to justice."