"Lex Luthier," November 2011, Corporate Crime
In 2009, the Department of Justice raided one of Gibson Guitar Corp.'s facilities, claiming the company's use of certain woods violated the Lacey Act, a law that protects endangered species, including plants. Then, in August 2011, armed agents raided three of the instrument maker's Tennessee factories and confiscated wood they claimed was protected under the Lacey Act and which the company illegally imported from Madagascar and India.
The three-year probe into Gibson's possible environmental violations came to an end last month when authorities announced that the company had reached a criminal enforcement agreement. Per that agreement, the company will pay a $300,000 penalty for possibly illegally purchasing endangered ebony from Madagascar. Gibson also will forfeit wood valued at $261,844 and pay $50,000 to the U.S. National Fish and Wildlife Foundation.
|Printer friendly Cite/link Email Feedback|
|Title Annotation:||LEGAL UPDATE|
|Date:||Sep 29, 2012|
|Previous Article:||Retail rule.|
|Next Article:||Sanctions relief: 2nd Circuit announces a more nuanced approach to discovery sanctions.|