The United States has initiated a civil lawsuit against Repwire LLC, a Florida-based corporation involved in importing wire and cables. The lawsuit alleges that Repwire made false statements to customs officials regarding the importation of aluminum wire into the country. Named as defendants in the suit are Repwire’s manager, Jose Pigna, and its insurer, American Alternative Insurance Corporation.
According to the complaint, Repwire allegedly misrepresented the classification code and country of origin of imported aluminum wire to U.S. Customs and Border Protection (CBP). The company is accused of falsely classifying Chinese-imported wire as aluminum wire with connectors instead of without connectors. After import duties on the former were increased, Repwire purportedly identified Singapore or Korea as the country of origin for various entries to avoid paying appropriate duties.
“The Justice Department is committed to pursuing individuals and companies who evade customs duties or otherwise engage in unfair trade practices that harm U.S. manufacturers,” stated Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will continue to employ all of our tools to ensure that U.S. manufacturers are competing on a level playing field.”
Susan Thomas, Executive Director of Cargo and Conveyance Security at CBP’s Office of Field Operations, commented, “CBP takes its trade mission of protecting the U.S. economy very seriously as we strive to maintain fair trade and preserve American jobs from predatory practices. These civil penalties should serve as a warning to those who attempt to do harm to our economy and American businesses.”
The complaint asserts that through actions by Pigna, Repwire avoided various duties owed on imported wire, including Section 301 duties applicable to certain Chinese merchandise such as aluminum wires without connectors, along with anti-dumping and countervailing duties related to Chinese aluminum wire. These duties aim to protect domestic industries from unfair foreign trade practices like government subsidies or below-market sales.
The United States seeks over $11 million in unpaid import duties and up to $62 million in civil penalties.
The investigation was conducted by CBP’s Electronics Center of Excellence and Expertise alongside Homeland Security Investigations (HSI) Miami. Both agencies enforce U.S. laws concerning merchandise importation into the country.
Trial Counsel Daniel Hoffman from the Civil Division’s Commercial Litigation Branch handled this case. The lawsuit was filed in the Court of International Trade under the caption United States v. Repwire LLC, Jose Pigna, and American Alternative Insurance Corporation, No. 24-00173.
To address trade fraud including duty evasion, the Justice Department established a Trade Fraud Task Force which collaborates with CBP and other law enforcement agencies to ensure compliance with U.S. trade laws.
The allegations in the complaint remain unproven until there is a determination of liability.