Showing posts with label civil penalty. Show all posts
Showing posts with label civil penalty. Show all posts

Wednesday, July 08, 2009

Nine Companies Penalized for Selling Children's Products that Violated the Federal Lead Paint Ban

The U.S. Consumer Product Safety Commission (CPSC) announced today that nine children's product manufacturers, importers and sellers have agreed to pay more than $500,000 in civil penalties for violating the federal lead paint ban.

The penalties settle allegations that the firms knowingly manufactured, imported, or sold toys and other children's articles with paint or other surface coatings that contained lead levels in violation of federal law. The settlements have been provisionally accepted by the Commission.

These products were recalled in 2007 and 2008, and include items such as toys, children's metal jewelry, children's pens, metal water bottles, pencil pouches, sunglasses and children's Halloween pails and baskets. Tests showed that paint or surface coatings on these children's products contained lead in excess of 600 ppm, or 0.06 percent, by weight. One firm's testing revealed that its products contained surface coatings with nearly 60 percent lead. In 1978, a federal ban was put in place which prohibited toys and other children's articles from having more than 0.06 percent lead (by weight) in paints or surface coatings. Lead can be toxic if ingested by young children and can cause adverse health consequences.

CPSC has ordered the following firms to pay civil penalties to the federal government:


Cardinal Distributing Co. Inc., of Baltimore, Md., $100,000
Recall: #07-157

Dollar General Corp., of Goodlettsville, Tenn., $100,000
Recalls: 08-007, #08-068, #08-080

Family Dollar Stores Inc., of Matthews, N.C., $75,000
Recall: #08-051

Hobby Lobby Stores Inc., of Oklahoma City, Okla., $50,000
Recalls: #08-084, #08-229

First Learning Company Ltd., of Hong Kong, $50,000
Recalls: #08-141, #08-174

Michaels Stores Inc., of Irving, Texas, $45,000
Recall: #08-248

A&A Global Industries Inc., of Cockeysville, Md., $40,000
Recall: #07-144

Raymond Geddes & Co, of Baltimore, Md., $40,000
Recall: #08-096

Downeast Concepts Inc., of Yarmouth, Maine, $30,000
Recall: #08-231

In agreeing to settle the matters, the firms deny CPSC's allegations that they knowingly violated the law.

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Friday, June 26, 2009

OKK Trading To Pay $665,000 Civil Penalty for Violating Federal Lead Paint Ban and Other Child Safety Rules

As part of its commitment to protecting the safety of children, the U.S. Consumer Product Safety Commission (CPSC) announced today that OKK Trading, of Commerce, Calif., has agreed to pay a $665,000 civil penalty (PDF) for failing to comply with a 30-year old ban on lead paint on toys, as well as violating other federal child safety standards.

The penalty settlement, which has been provisionally accepted by the Commission, resolves CPSC staff allegations that from November 2007 through August 2008, OKK Trading knowingly imported and sold toys with paints that contained lead levels that exceeded legal limits. In 1978, a federal ban was put in place which prohibited toys and other children's articles from having more than 0.06 percent lead (by weight) in paints or surface coatings. Lead can be toxic if ingested by young children and can cause adverse health consequences.

The penalty settlement also resolves CPSC staff allegations that OKK Trading knowingly imported and sold toys, games, rattles, pacifiers, and art materials that violated the Federal Hazardous Substances Act. These allegations include:


From December 2004 through August 2008, OKK Trading imported and sold toys that had small parts in violation of CPSC regulations. To protect young children from choking, aspiration, or ingestion hazards, federal law prohibits toys intended for children under three from having small parts.

From November 2004 through January 2005, OKK Trading imported rattles that violated CPSC's safety requirements for rattles.

From July 2007 through January 2008, OKK Trading imported and sold pacifiers that violated CPSC's safety requirements for pacifiers, including the prohibition on small parts.

From January 2005 through April 2007, OKK Trading imported toys and games that violated CPSC's labeling requirements for balloons, small balls, and small parts.

From September 2005 through April 2007, OKK Trading imported art materials that violated CPSC's labeling requirements.

The settlement also covers staff allegations that from May 2007 through December 2007, the company knowingly exported noncompliant toys in violation of federal notification requirements.

OKK Trading informed CPSC that it received no reports of incidents or injuries involving the products covered by this settlement. In agreeing to the settlement, OKK Trading denies CPSC's allegations that it knowingly violated the law.

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Saturday, June 06, 2009

Mattel, Fisher-Price to Pay $2.3 Million Civil Penalty for Violating Federal Lead Paint Ban

Mattel, Fisher-Price to Pay $2.3 Million Civil Penalty for Violating Federal Lead Paint Ban
Penalty is highest ever for CPSC regulated product violations


As part of its commitment to protecting the safety of children, the U.S. Consumer Product Safety Commission (CPSC) announced today that Mattel Inc., of El Segundo, Calif. and its wholly owned subsidiary, Fisher-Price Inc., of East Aurora, N.Y. have agreed to pay a $2.3 million civil penalty for violating the federal lead paint ban.

The penalty settlement, which has been provisionally accepted by the Commission, resolves CPSC staff allegations that Mattel and Fisher-Price knowingly (as defined in the Consumer Product Safety Act) imported and sold children's toys with paints or other surface coatings that contained lead levels that violated a 30-year-old federal law. In 1978, a federal ban was put in place which prohibited toys and other children's articles from having more than 0.06 percent lead (by weight) in paints or surface coatings. In 2007, about 95 Mattel and Fisher-Price toy models were determined to have exceeded this limit. Lead can be toxic if ingested by young children and can cause adverse health consequences.

This civil penalty, which is the highest for violations involving importation or distribution in commerce of a regulated product and is the third highest of any kind in CPSC history, settles the following allegations:

Mattel imported up to 900,000 non-compliant toys between September 2006 and August 2007, including the "Sarge" toy car and numerous Barbie accessory toys, and distributed most of them to its retail customers for sale to U.S. consumers. The "Sarge" car was recalled in August 2007 and the Barbie toys were recalled in September 2007.

Fisher-Price imported up to 1.1 million non-compliant toys between July 2006 and August 2007, including certain licensed character toys and the Bongo Band, GEOTRAX locomotive, and Go Diego Go Rescue Boat toys. Most of these toys were distributed to retail stores for sale to consumers. The licensed character toys were recalled in August 2007, the Bongo Band and GEO TRAX toys were recalled in September 2007, and the Go Diego Go Boat toys were recalled in October 2007.

"These highly publicized toy recalls helped spur Congressional action last year to strengthen CPSC and make even stricter the ban on lead paint on toys," said CPSC Acting Chairman Thomas Moore. "This penalty should serve notice to toy makers that CPSC is committed to the safety of children, to reducing their exposure to lead, and to the implementation of the Consumer Product Safety Improvement Act."

This settlement also resolves other potential matters. In agreeing to the settlement, Mattel and Fisher-Price deny that they knowingly violated federal law, as alleged by CPSC staff.

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Thursday, December 04, 2008

Major Apparel Retailer To Pay a $60,000 Civil Penalty For Failure To Report Drawstrings In Children's Outerwear

The U.S. Consumer Product Safety Commission (CPSC) announced today that Nordstrom Inc., of Seattle, Wash., has agreed to pay a $60,000 civil penalty. The penalty settles allegations that the firm knowingly failed to report to the CPSC immediately, as required by federal law, that its children's hooded jackets and sweaters were sold with drawstrings at the hood and neck. These products, which the firm eventually recalled, pose a strangulation hazard that can cause death to children. The settlement has been provisionally accepted by the Commission.

CPSC alleged that Nordstrom failed to report to the government in a timely manner that drawstring jackets and sweaters were sold by the firm. Nordstrom sold about 2,400 drawstring jackets and sweaters in the United States between November 2007 and December 2007. In February 2008 and March 2008, CPSC and Nordstrom announced the recall of the drawstring jackets and sweaters.

In February 1996, CPSC issued drawstring guidelines (pdf) to help prevent children from getting entangled and possibly strangling on hood and neck drawstrings in upper outerwear, such as jackets and sweatshirts. In May 2006, CPSC's Office of Compliance announced (pdf) that children's upper outerwear with drawstrings at the hood or neck would be regarded as defective and a substantial risk of injury to young children.

Federal law requires manufacturers, distributors, and retailers to report to CPSC immediately (within 24 hours) after obtaining information reasonably supporting the conclusion that a product contains a defect which could create a substantial product hazard, creates an unreasonable risk of serious injury or death, or violates any consumer product safety rule, or any other rule, regulation, standard, or ban enforced by the CPSC.

In agreeing to settle the matter, Nordstrom Inc. denies CPSC's allegations that it knowingly violated the law.

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Sunday, November 23, 2008

Major Retailer Agrees to Pay $500,000 Civil Penalty for Failure to Report Hazardous Outdoor Candles

The U.S. Consumer Product Safety Commission (CPSC) announced today that IKEA North America Services LLC, of Plymouth Meeting, Pa., has agreed to pay the government a $500,000 civil penalty. The penalty, which has been provisionally accepted by the Commission, settles allegations that the company failed to immediately report incidents about defective outdoor candles.

CPSC alleged that IKEA failed to report to the government in a timely manner that outdoor candles sold by the firm could unexpectedly flare up and pose fire and burn injury hazards to consumers, when they attempted to extinguish the candles by blowing them out.

IKEA sold about 133,000 six-pack sets of the outdoor candles in the United States between February 2001 and July 2005. The firm also sold an additional 1.3 million candle sets internationally. During that time, the firm received at least 32 reports worldwide of unexpected flare-ups, including fire, scorching and twelve reported injuries, including minor to serious burns. In May 2006, CPSC and IKEA announced the recall of the candles.

Federal Law requires manufacturers, distributors and retailers to report to CPSC immediately after obtaining information reasonably supporting the conclusion that a product contains a defect, which could create a substantial product hazard or create an unreasonable risk of serious injury or death.

In agreeing to settle the allegations, IKEA North America Services denies that it knowingly violated federal law.

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Wednesday, November 05, 2008

Plantation Pipe Line Will Pay Penalty for Fuel Spills in Va., N.C., Ga.

PRNewswire-USNewswire/ -- Plantation Pipe Line Company, Alpharetta, Ga., has agreed to pay a civil penalty and implement safeguards in order to resolve a Clean Water Act lawsuit over fuel pipeline spills in three states, the Justice Department, the U.S. Environmental Protection Agency (EPA) and state of North Carolina announced.

The company has agreed to pay a $725,000 penalty for discharges of jet fuel and gasoline in Virginia, Georgia and North Carolina, and for inadequate spill prevention safeguards at a Virginia facility. The company also has agreed to implement $1.3 million in new spill prevention safeguards.

"Companies like Plantation Pipe Line that operate oil production infrastructure have a responsibility to ensure the safety and integrity of their operations," said Ronald J. Tenpas, Assistant Attorney General for the Justice Department's Environment and Natural Resources Division. "We continue to work closely with the Environmental Protection Agency to enforce this nation's environmental laws."

"Federal oil pollution prevention requirements, along with regular pipeline upgrades, are designed to prevent the kinds of oil spills that have occurred on Plantation's pipeline system," said Donald Welsh, administrator for EPA's mid-Atlantic region. "The pipeline upgrades required in this settlement will help protect the environment by preventing future spills."

"Oil spills can cause significant harm to the environment," said Jimmy Palmer, EPA Regional Administrator in Atlanta. "EPA will continue to ensure that facilities handling oils follow established procedures to minimize risk to our water and sensitive ecosystems."

The lawsuit cited Plantation for four separate fuel spills from 2000 to 2006, totaling 1,005 barrels (or 42,210 gallons):

-- On Nov. 27, 2006, at least 97 barrels of gasoline leaked from a
Plantation pipeline in Mecklenburg County, N.C., some flowing into Paw
Creek.
-- On Feb. 22, 2003, at least 788 barrels of gasoline spilled from a
pipeline in Hull, Ga., some entering a tributary of East Sandy Creek.
-- On Mar. 13, 2002, at least 20 barrels of jet fuel were discharged from
a pipeline in Alexandria, Va., some flowing to a tributary of Hooff
Run.
-- On Jan. 10, 2000, at least 100 barrels of jet fuel leaked from a
pipeline in Newington, Va., some of which spilled into Accotink Creek.


The lawsuit also cited Plantation Pipe Line for failing to prepare and implement a required spill prevention, control and countermeasure plan for a 420,000-gallon oil storage tank at its Newington, Va., facility.

The settlement requires Plantation to pay a $715,000 penalty to the federal government's Oil Spill Liability Trust Fund and $10,000 to the North Carolina Department of Environment and Natural Resources. In addition, the company will implement $1.3 million in spill prevention safeguards, including upgrades to pipelines and excavating buried valves to improve regular inspection capabilities.

The Clean Water Act prohibits discharges of oil into waterways and coastal areas in quantities that may be harmful to the environment or public health. Oil spills threaten both fresh water and marine environments, harming plant and animal life through physical damage and the toxicity of the oil itself, which may poison exposed organisms. For more information on the effects and cleanups of oil spills, visit: http://www.epa.gov/oilspill.

The proposed consent decree, filed by the U.S. Department of Justice on behalf of EPA and North Carolina, is subject to a 30-day public comment period and final court approval. A copy of the proposed consent decree is available on the Justice Department Web site at www.usdoj.gov/enrd/Consent_Decrees.html.

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Friday, December 28, 2007

Shopping Channel HSN Agrees to Pay $875,000 Civil Penalty

The U.S. Consumer Product Safety Commission (CPSC) announced today that HSN LP (previously known as Home Shopping Network), of St. Petersburg, Fla., has agreed (pdf) to pay a civil penalty of $875,000. The civil penalty settles allegations that HSN LP failed to report in a timely manner, as required by federal law, serious injuries and hazards with the Welbilt Electronic Pressure Cookers.

CPSC alleged that from September 2001 through about October 2004, HSN received at least 25 reports from consumers indicating that the pressure cookers contained a defect that could create a substantial product hazard or that the pressure cookers created an unreasonable risk of serious injury. CPSC alleged that HSN failed to immediately report this information as required by federal law.

HSN LP finally reported information to CPSC in February 2005.

In June and October 2005, these pressure cookers were the subject of a recall. Under the Consumer Product Safety Act, manufacturers, distributors and retailers are required to immediately report to CPSC information about products that could create a substantial risk of injury to the public or that create an unreasonable risk of serious injury or death. In agreeing to settle this matter, HSN denied CPSC's allegations that it violated the CPSA.

To see this press release on CPSC's web site, including a picture of the product involved and links to the agreement and recall, please go to: http://www.cpsc.gov/cpscpub/prerel/prhtml08/08153.html
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