Chicago: The Department of Justice announced today that the Trade Fraud Task Force (TFTF), established in August 2025 in collaboration with the Department of Homeland Security (DHS), has successfully surpassed $1 billion in civil and criminal recoveries, penalties, forfeitures, and publicly charged losses within less than a year. This accomplishment marks a significant shift in the federal government's approach to customs and trade enforcement, focusing on stricter criminal prosecution and civil enforcement under the False Claims Act (FCA). According to United States Department of Justice, Assistant Attorney General Colin McDonald of the Justice Department's National Fraud Enforcement Division emphasized the seriousness of trade fraud as an economic crime. He asserted that the billion-dollar milestone sends a clear message to supply-chain actors that the integrity of the United States' borders and markets will not be compromised for illicit gains. This initiative by the TFTF aims to hold those accountable wh o defraud the government through false representations to U.S. Customs and Border Protection (CBP), including transshipment, mislabeling, and false declarations. The TFTF's mandate extends across the entire supply chain, targeting importers, customs brokers, and other actors who profit from merchandise imported unlawfully. The task force prioritizes actions that address key revenue and enforcement priorities, such as evasion of tariffs, antidumping duties, and countervailing duties, while eradicating forced labor from global supply chains and prosecuting criminal violations related to imported goods. U.S. Customs and Border Protection Commissioner Rodney S. Scott stated that pairing CBP's operational reach with DOJ's prosecutorial authority is dismantling networks that bypass laws and threaten economic security. John A. Condon, Acting Executive Associate Director of Homeland Security Investigations, highlighted the importance of protecting American families and businesses from illegal trade practices throug h the TFTF. The task force's efforts build trust in consumer products and support a fair marketplace. In a recent development, the United States Attorney's Office for the Northern District of Illinois (NDIL) announced charges against multiple defendants related to customs duty evasion schemes involving false declarations of countries of origin for gold jewelry. These cases, centered in Chicago, contributed significantly to the TFTF's $1 billion milestone in enforced trade fraud matters. Raj Kohli and Veena Kohli of Surya International, Inc., and Narain Gulabani of Barkha Wholesale, Inc., were charged with falsely declaring the countries of origin for imported gold jewelry, resulting in substantial customs duty evasion. These charges represent the federal effort to combat trade fraud schemes that undermine fair competition and harm domestic industries. The TFTF's nationwide mandate includes prosecuting offenses involving the importation of goods across various districts. Recent high-impact cases involved si gnificant settlements and fines across diverse industries, including aluminum, plywood, and air conditioning units. In addition to DOJ's enforcement efforts, CBP has assessed over $2.1 billion in commercial trade penalties and debarred 35 parties from federal business dealings this fiscal year. These actions, along with the DOJ and DHS's release of a Resource Guide to Trade Fraud Enforcement, aim to provide a comprehensive framework for cross-border compliance and enforcement priorities. The formation of the Global Trade and Commerce Enforcement Section within the National Fraud Enforcement Division further underscores the commitment to investigating and prosecuting criminal import and trade offenses. The success of the TFTF and its initiatives is built on partnerships with various U.S. Attorneys' Offices and law enforcement agencies, demonstrating a concerted effort to address trade fraud comprehensively.
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