The Department of Justice announced today that the Trade Fraud Task Force (TFTF), launched in August 2025, with the Department of Homeland Security (DHS) has surpassed $1 billion in civil and criminal recoveries, penalties, forfeitures. Publicly charged losses in less than one year This milestone reflects a fundamental shift in the federal government’s approach to customs and trade enforcement, emphasizing rigorous criminal prosecution and civil enforcement under the False Claims Act (FCA). “For too long, fraud actors have viewed customs violations as a mere surcharge or cost of doing business,” said Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division.
Key details of the case
“By utilizing the Department’s full weight, we are making it clear that trade fraud is a serious economic crime. This billion-dollar milestone demonstrates that the United States and the National Fraud Enforcement Division will no longer allow the integrity of our country’s borders and markets to be compromised for illicit profit. This message should be heard loud and clear by all supply-chain actors.”.
Moreover, the TFTF was established by DOJ and DHS to investigate and prosecute those who defraud the government through material misrepresentations to U.S. Customs and Border Protection (CBP), including transshipment, mislabeling, and false declaration. Its mandate covers the entire supply chain, including importers, customs brokers, downstream distributors, industrial and commercial end-users.
Other supply-chain actors who knowingly profit from merchandise imported contrary to law. Although the TFTF maintains broad enforcement authority, the task force focuses on key revenue and enforcement priorities, including the evasion of Section 301 tariffs, antidumping duties (AD). Countervailing duties (CVD), the eradication of forced labor from global supply chains that seek to exploit U.S. markets, and the prosecution of criminal violations concerning imported goods that threaten public health and safety.
Enforcement actions and official statements
By prioritizing clear, high-impact enforcement actions within established legal frameworks, the TFTF ensures swift accountability and a level playing field for law-abiding American businesses. “Ensuring that the global supply chain remains a level playing field for law-abiding American businesses is a critical component of CBP’s mission,” said U.S. Customs and Border Protection Commissioner Rodney S.
“By pairing CBP’s operational reach with DOJ’s prosecutorial authority, we are dismantling the networks that seek to bypass our laws and undermine our economic security. Every day, CBP confronts criminal networks that exploit our supply chains, endanger American families with unsafe goods, threaten the integrity of our consumer and industrial markets. Undermine confidence in international commerce. For complete details, refer to the official DOJ press release.
Consequently, our message is clear: those who seek to exploit America’s trade system will be identified, investigated, and brought to justice.”. “Through the Trade Fraud Task Force, Homeland Security Investigations is actively protecting American families and businesses from the dangers and consequences of illegal trade practices,” said Homeland Security Investigations Acting Executive Associate Director John A. “HSI combines investigative expertise and global partnerships to confront criminal networks that threaten fair trade and the security of our nation’s economic interests.
Notably, by holding offenders accountable, we build trust in the products people rely on every day and support a fair marketplace for honest businesses.”. ATTORNEY’S OFFICE ANNOUNCES CHARGES IN TWO SIGNIFICANT CHICAGO TRADE FRAUD CASES. The United States Attorney’s Office for the Northern District of Illinois (NDIL) today announced charges against multiple defendants in significant customs duty evasion schemes involving the false declaration of countries of origin for gold jewelry. For related coverage, see Two high ranking members of the united cartels charged with drug trafficking, providing material support — DOJ.
Specifically, the Trade Fraud Task Force (TFTF) has selected NDIL as its lead prosecutorial partner. These Chicago cases contributed to the TFTF surpassing the $1 billion milestone in enforced trade fraud matters. Raj Kohli and Veena Kohli, who operate Surya International, Inc., a gold jewelry importer and wholesaler in South San Francisco, California, were charged in U.S.
District Court in Chicago with falsely declaring that the gold jewelry they imported into the United States had originated in Singapore and not its true country of origin—India and United Arab Emirates. The charges allege that from approximately August 2020 through May 2024, the company, together with foreign manufacturers and other United States entities, imported and brought into the United States approximately 563 separate entries of gold jewelry that were falsely declared as having been manufactured in Singapore and in doing so avoided paying customs duties of between 5.5% and 5.8% of the declared value of the imported gold jewelry. The gold jewelry had an estimated total value of more than approximately $693 million, thus causing the avoidance of more than approximately $38 million in United States customs duties. For related coverage, see National health care fraud takedown results in 455 defendants charged in connection with over $6.5 billion in alleged fraud — DOJ.
Separately, Narain Gulabani who owned and operated Barkha Wholesale, Inc., a gold jewelry importer and wholesaler in Naperville, Illinois, was charged in U.S. District Court in Chicago with falsely declaring the country of origin for imported gold jewelry. The charges allege that, from approximately May 2016 and October 2021, Gulabani, together with foreign manufacturers and other United States entities, imported or caused to be imported into the United States approximately 242 separate entries of gold jewelry that were falsely declared as having been manufactured in Oman or Singapore and in doing so avoided paying customs duties of between 5.5% and 5.8% of the declared value of the imported gold jewelry.
In particular, the gold jewelry had an estimated total value of more than approximately $240 million, thus causing the avoidance of more than approximately $13.6 million in United States customs duties. These charges are part of a broader federal effort to combat trade fraud schemes that undermine fair competition, harm domestic industries, deprive the United States of substantial revenue. Ultimately hurt the American taxpayer.
Furthermore, the TFTF has a nationwide mandate to investigate and prosecute trade fraud and related cases, from coast-to-coast. Any offense involving the importation of an object may be inquired of and prosecuted in any district from, through. Into which the imported object moves.
Investigation and prosecution details
Moreover, federal law criminalizes down-chain activities involving merchandise entered contrary to law when done with knowledge of the illegal entry. As a result, the port of entry is only the starting point for these actions. May also be prosecuted in the district that feels the impact of the trade fraud. The TFTF has secured major victories across a diverse range of industries.