Lumber Liquidators hit with US$13M in fines for illegal imports
Lumber Liquidators Holdings Inc. pleaded guilty to environmental crimes related to importing flooring manufactured in China
Exporting & Importing
Risk & Compliance
Mining & Resources
NEW YORK—Lumber Liquidators will pay more than $13 million for illegally importing hardwood flooring.
The Toano, Virginia, company, which was sentenced Monday in federal court, will pay $7.8 million in criminal fines, more than $1.2 million in community service payments and $969,175 in criminal forfeiture. It will also pay more than $3.1 million through a related civil forfeiture.
The Department of Justice says the penalty is the biggest for timber trafficking under the Lacey Act.
In October Lumber Liquidators Holdings Inc. pleaded guilty to environmental crimes related to importing flooring manufactured in China from timber illegally logged in eastern Russia. Its plea agreement was unrelated to the controversy over some of its laminate flooring from China, which CBS’ “60 Minutes” had reported contains high levels of the carcinogen formaldehyde.