US Seeks Almost $800,000 From Solar Cell Importer for Unpaid Duties

The U.S. brought a negligence case against a California-based solar cell importer Oct. 8 seeking $776,250.51 in unpaid duties and damages (U.S. v. Paul Bakhoum, CIT # 24-00188).

The government aimed its lawsuit at Paul Bakhoum, a resident of Huntington Beach, California, and the vice president of operations for solar cell importer Ecosolargy. Bakhoum, it said in its complaint, had been named on bills of lading and blanket statements of non-reimbursement for the entries in question.

During 2014 and 2015, Bakhoum made multiple errors when entering solar cell shipments from Ecosolargy’s solar cell manufacturer, it said. For example, several solar cell entries were classified as “LED lights” instead of as “solar cells” under the Harmonized Tariff Schedule, it said.

Another was imported under entry type 01 when, as it originated from Turkey, it should have been imported under entry type 03 and assessed antidumping and countervailing duties. And another’s value was understated in entry paperwork, and, though the importer acknowledged its error, it only paid duties on the lower value.

In total, CBP lost $284,161.90 due to the errors, the government said. It asked the court to find that Bakhoum had failed “to exercise reasonable care and competence” in ensuring the accuracy of his company’s entry filings and award a penalty of twice the lost duties, bringing the total amount of money sought to $776,250.51.

Bakhoum signed a waiver of the statute of limitations in 2022. The waiver was set to expire Oct. 9, 2024.