U.S. EXPORTER FINED $30,000 FOR ILLEGAL EXPORTS TO IRAN
Mercator has agreed to pay a $30,000 fine to the U.S. government to settle allegations that it illegally exported chemicals to Iran via United Arab Emirates, violating both U.S. export control and antiboycott laws.
The Commerce Department’s Bureau of Industry and Security (formerly Bureau of Export Administration) said the Englewood Cliffs, N.J.-based shipper exported 4,080 bags of ethylene vinyl acetate valued at $126,896 to Dubai, United Arab Emirates, knowing that the chemicals would be transshipped to Iran without authorization from the Treasury Department’s Office of Foreign Assets Control.
The agency also alleged that Mercator violated the antiboycott provisions of the Export Administration Regulations by certifying that the goods being shipped did not originate in Israel, a boycotted country. The company also failed to report to the Bureau of Industry and Security that it received a request to engage in an unsanctioned boycott.
“The Bureau of Industry and Security is deeply concerned by the use of strategically located commercial hubs to transship U.S.-origin goods to countries of concern such as Iran,” said Michael J. Garcia, assistant secretary of Commerce for export enforcement. “We will vigorously prosecute cases, such as this, where evidence of such diversion is uncovered.”