97-29501. In the Matter of Yongxin International, Inc., a Corporation; Provisional Acceptance of a Settlement Agreement and Order  

  • [Federal Register Volume 62, Number 216 (Friday, November 7, 1997)]
    [Notices]
    [Pages 60236-60239]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-29501]
    
    
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    CONSUMER PRODUCT SAFETY COMMISSION
    
    [CPSC Docket No. 98-C0001]
    
    
    In the Matter of Yongxin International, Inc., a Corporation; 
    Provisional Acceptance of a Settlement Agreement and Order
    
    AGENCY: Consumer Product Safety Commission.
    
    ACTION: Provisional acceptance of a settlement agreement under the 
    Consumer Product Safety Act.
    
    -----------------------------------------------------------------------
    
    SUMMARY: It is the policy of the Commission to publish settlements 
    which it provisionally accepts under the Consumer Product Safety Act in 
    the Federal Register in accordance with the terms of 16 CFR 
    Sec. 1118.20(e)-(h). Published below is a provisionally-accepted 
    Settlement Agreement with Yongxin International, Inc., a corporation, 
    ``containing a civil penalty of $50,000.''
    
    DATES: Any interested person may ask the Commission not to accept this 
    agreement or otherwise comment on its contents by filing a written 
    request with the Office of the Secretary by November 22, 1997.
    
    ADDRESSES: Persons wishing to comment on this Settlement Agreement 
    should send written comments to the Comment 98-C0001, Office of the 
    Secretary, Consumer Product Safety Commission, Washington D.C. 20207.
    
    FOR FURTHER INFORMATION CONTACT: Dennis C. Kacoyanis, Trial Attorney, 
    Office of Compliance and Enforcement, Consumer Product Safety 
    Commission, Washington, D.C. 20207; telephone (301) 504-0626.
    
    SUPPLEMENTARY INFORMATION: The text of the Agreement and Order appears 
    below.
    
        Dated: November 4, 1997.
    Sadye E. Dunn,
    Secretary.
    
    United States of America Consumer Product Safety Commission
    
    [CPSC Docket No. 98-C0001]
    
    In the Matter of Yongxin International, Inc., a Corporation
    
    Settlement Agreement and Order
    
        1. Yongxin International, Inc. (hereinafter, ``Yongixin'' or 
    ``Respondent''), a corporation, enters into this Settlement Agreement 
    (hereinafter, ``Agreement''), and agrees to the entry of the Order 
    incorporated herein. The purpose of this Agreement and Order is to 
    settle the staff's allegations that Yongxin knowingly imported into the 
    United States for sale and distribution in United States commerce 
    cigarette lighters that are subject to and failed to comply with the 
    Safety Standard For Cigarette Lighters (hereinafter, ``Standard''), 16 
    C.F.R. part 1210, in violation of section 19(a)(1) of the Consumer 
    Product Safety Act (CPSA), 15 U.S.C. Sec. 2068(a)(1).
    
    I. The Parties
    
        2. The ``staff'' is the staff of the Consumer Product Safety 
    Commission (hereinafter, ``Commission'' or ``CPSC''), an independent 
    regulatory commission of the United States established pursuant to 
    section 4 of the CPSA, 15 U.S.C. Sec. 2053.
        3. Since 1992, Yongxin has been a corporation organized and 
    existing under the laws of the State of California. Its principal 
    corporate offices are located at 17870 Castleton Street, Suite 260, 
    City of Industry, CA 91748. Yongxin is an importer, broker, and 
    distributor of various consumer items including cigarette lighters.
    
    II. Allegations of the Staff
    
        4. On three occasions between October 21, 1994, and June 18, 1996, 
    Yongxin knowingly imported into the United States for sale and 
    distribution in United States commerce 83 kinds of disposable and 
    novelty cigarette lighters (141,300 units). These cigarette lighters 
    are identified and described as follows:
    
    ------------------------------------------------------------------------
      Collection date*                        Type of lighter,    Number of 
         entry date          Sample No.           model No.        lighters 
    ------------------------------------------------------------------------
    10/21/94...........  T-867-8061........  Disposable, No. 1.       11,000
    10/21/94...........  T-867-8062........  Novelty, No. 5....        2,400
    10/21/94...........  T-867-8063........  Disposable, No. 8.        2,400
    10/21/94...........  T-867-8064........  Novelty, No. 9....        1,000
    
    [[Page 60237]]
    
                                                                            
    10/21/94...........  T-867-8065........  Novelty, No. 2....        1,500
    12/09/94 *.........  T-867-8117........  Novelty, No. 1....        2,500
    12/09/94 *.........  T-867-8118........  Disposable, No. 3.       10,200
    12/09/94 *.........  T-867-8119........  Disposable, No. 4.        2,000
    12/09/94 *.........  T-867-8120........  Novelty, No. 5....        2,000
    12/09/94 *.........  T-867-8121........  Disposable, No. 6.        2,000
    12/09/94 *.........  T-867-8123........  Disposable, No. 8.       10,000
    12/09/94 *.........  T-867-8122........  Disposable, No. 7.       10,000
    12/09/94 *.........  T-867-8124........  Disposable, No. 37        2,500
    12/09/94 *.........  T-867-8125........  Novelty, No. 119..       18,000
    12/09/94 *.........  T-867-8126........  Novelty, No. 511..        5,000
    12/09/94 *.........  T-867-8127........  Novelty, No. 1410.        8,000
    06/18/96...........  96-860-6126.......  Novelty...........          500
    06/18/96...........  96-860-6127.......  Novelty...........          500
    06/18/96...........  96-860-6128.......  Novelty...........          500
    06/18/96...........  96-860-6129.......  Novelty...........        1,000
    06/18/96...........  96-860-6130.......  Novelty...........          500
    06/18/96...........  96-860-6131.......  Novelty...........          540
    06/18/96...........  96-860-6132.......  Novelty...........        3,600
    06/18/96...........  96-860-6133.......  Novelty...........           50
    06/18/96...........  96-860-6134.......  Novelty...........           20
    06/18/96...........  96-860-6135.......  Novelty...........           20
    06/18/96...........  96-860-6136.......  Disposable........           20
    06/18/96...........  96-860-6137.......  Disposable........           20
    06/18/96...........  96-860-6138.......  Disposable........           20
    06/18/96...........  96-860-6139.......  Disposable........           50
    06/18/96...........  96-860-6140.......  Disposable........        7,200
    06/18/96...........  96-860-6141.......  Disposable........          300
    06/18/96...........  96-860-6142.......  Disposable........           55
    06/18/96...........  96-860-6143.......  Disposable........          200
    06/18/96...........  96-860-6144.......  Disposable........          250
    06/18/96...........  96-860-6145.......  Novelty...........          500
    06/18/96...........  96-860-6146.......  Novelty...........          500
    06/18/96...........  96-860-6147.......  Novelty...........          100
    06/18/96...........  96-860-6148.......  Novelty...........        2,000
    06/18/96...........  96-860-6149.......  Novelty...........        1,200
    06/18/96...........  96-860-6150.......  Disposable........          864
    06/18/96...........  96-860-6151.......  Novelty...........        1,056
    06/18/96...........  96-860-6152.......  Novelty...........        1,000
    06/18/96...........  96-860-6153.......  Novelty...........        2,000
    06/18/96...........  96-860-6154.......  Novelty...........       10,000
    06/18/96...........  96-860-6155.......  Novelty...........          500
    06/18/96...........  96-860-6156.......  Novelty...........          500
    06/18/96...........  96-860-6157.......  Novelty...........        1,000
    06/18/96...........  96-860-6158.......  Disposable........          200
    06/18/96...........  96-860-6159.......  Disposable........          200
    06/18/96...........  96-860-6160.......  Disposable........          600
    06/18/96...........  96-860-6161.......  Disposable........          500
    06/18/96...........  96-860-6162.......  Disposable........          500
    06/18/96...........  96-860-6163.......  Disposable........        1,500
    06/18/96...........  96-860-6164.......  Novelty...........          500
    06/18/96...........  96-860-6165.......  Novelty...........           20
    06/18/96...........  96-860-6166.......  Novelty...........        2,000
    06/18/96...........  96-860-6167.......  Novelty...........        2,600
    06/18/96...........  96-860-6168.......  Novelty...........          100
    06/18/96...........  96-860-6169.......  Novelty...........           20
    06/18/96...........  96-860-6170.......  Novelty...........           80
    06/18/96...........  96-860-6171.......  Disposable........          500
    06/18/96...........  96-860-6172.......  Novelty...........          500
    06/18/96...........  96-860-6173.......  Novelty...........          300
    06/18/96...........  96-860-6174.......  Disposable........          300
    06/18/96...........  96-860-6175.......  Disposable........          300
    06/18/96...........  96-860-6176.......  Disposable........          300
    06/18/96...........  96-860-6177.......  Disposable........          300
    06/18/96...........  96-860-6178.......  Disposable........          300
    06/18/96...........  96-860-6179.......  Disposable........          300
    06/18/96...........  96-860-6180.......  Disposable........          500
    06/18/96...........  96-860-6181.......  Novelty...........          200
    06/18/96...........  96-860-6182.......  Disposable........          200
    06/18/96...........  96-860-6183.......  Disposable........          500
    06/18/96...........  96-860-6184.......  Disposable........          100
    06/18/96...........  96-860-6185.......  Disposable........           50
    
    [[Page 60238]]
    
                                                                            
    06/18/96...........  96-860-6186.......  Disposable........           50
    06/18/96...........  96-860-6187.......  Novelty...........           50
    06/18/96...........  96-860-6188.......  Novelty...........           50
    06/18/96...........  96-860-6189.......  Disposable........          200
    06/18/96...........  96-860-6190.......  Disposable........           60
    06/18/96...........  96-860-6191.......  Disposable........          100
    06/18/96...........  96-860-6192.......  Disposable........          255
    ------------------------------------------------------------------------
    
        5. The cigarette lighters identified as disposable cigarette 
    lighters in paragraph 4 above are subject to the Commission's Safety 
    Standard For Cigarette Lighters at 16 CFR Part 1210, issued under 
    section 9 of the CPSA, 15 U.S.C. Sec. 2058 because they are fueled by 
    butane, isobutane, propane, or other liquified hydrocarbon, or a 
    mixture containing any of these, whose vapor pressure at 75 deg.F 
    (24 deg.C) exceeds a gage pressure of 15 psi (103kPA), and they have a 
    customs valuation or ex-factory price under $2.00, as adjusted every 5 
    years, to the nearest $0.25, in accordance with the percentage changes 
    in the monthly Wholesale Price Index from June 1993.
        6. The cigarette lighters identified as novelty cigarette lighters 
    in paragraph 4 above are subject to the Commission's Safety Standard 
    For Cigarette Lighters at 16 CFR Part 1210, issued under section 9 of 
    the CPSA, 15 U.S.C. Sec. 2058 because they have entertaining audio or 
    visual effects, or they depict (logos, decals, art work, etc.) or 
    resemble in physical form or function articles commonly recognized as 
    appealing to or intended for use by children under 5 years of age.
        7. The cigarette lighters identified in paragraph 4 above failed to 
    comply with the child resistant requirements of the Standard at 16 CFR 
    Sec. 1210.3 because they lacked a child resistant mechanism.
        8. The cigarette lighters identified in paragraph 4 above were not 
    labeled in accordance with the labeling requirements of the Standard at 
    16 CFR Sec. 1210.12(c).
        9. The cigarette lighters identified in paragraph 4 above were not 
    accompanied by a certificate of compliance as required by the Standard 
    at 16 CFR Sec. 1210.12(b).
        10. The Respondent failed to submit to the Office of Compliance, 
    Division of Regulatory Management written reports at least 30 days 
    prior to the importation of the cigarette lighters identified in 
    paragraph 4 above as required by the Standard at 16 CFR 
    Sec. 1210.17(b).
        11. The Respondent knowingly committed the acts set forth in 
    paragraphs 4 through 10 above, in violation of section 19(a)(1) of the 
    CPSA, 15 U.S.C. Sec. 2068(a)(1), for which a civil penalty may be 
    imposed pursuant to section 20(a)(1) of the CPSA, 15 U.S.C. 
    Sec. 2069(a)(1).
    
     III. Response of Respondent
    
        12. Respondent denies the allegations of the staff set forth in 
    paragraphs 4 through 11 above that it knowingly imported into the 
    United States for sale and distribution in United States commerce 
    disposable and novelty cigarette lighters that are subject to and 
    failed to comply with the requirements of the Commission's Safety 
    Standard For Cigarette Lighters, 16 CFR Part 1210, in violation of 
    section 19(a)(1) of the CPSA, 15 U.S.C. Sec. 2068(a)(1), for which a 
    civil penalty may be imposed pursuant to section 20(a)(1) of the CPSA, 
    15 U.S.C. Sec. 2069(a)(1).
    
    IV. Agreement of the Parties
    
        13. The Commission has jurisdiction over this matter under the 
    Consumer Product Safety Act, 15 U.S.C. 2051 et seq.
        14. Upon final acceptance by the Commission of this Settlement 
    Agreement and Order, the Commission shall issue the attached Order 
    incorporated herein by reference.
        15. The Commission does not make any determination that the 
    Respondent knowingly violated the CPSA. This Agreement is entered into 
    for the purposes of settlement only.
        16. Upon final acceptance of this Settlement Agreement by the 
    Commission and issuance of the Final Order, the Respondent knowingly, 
    voluntarily, and completely waives any rights it may have in this 
    matter (1) to an administrative or judicial hearing, (2) to judicial 
    review or other challenge or contest of the validity of the 
    Commission's actions, (3) to a determination by the Commission as to 
    whether the Respondent failed to comply with the CPSA as aforesaid, (4) 
    to a statement of findings of facts and conclusions of law, and (5) to 
    any claims under the Equal Access to Justice Act.
        17. For purposes of section 6(b) of the CPSA, 15 U.S.C. 
    Sec. 2055(b), this matter shall be treated as if a complaint had 
    issued; and the Commission may publicize the terms of this Settlement 
    Agreement and Order.
        18. Upon provisional acceptance of this Settlement Agreement and 
    Order by the Commission, this Settlement Agreement and Order shall be 
    placed on the public record and shall be published in the Federal 
    Register in accordance with the procedures set forth in 16 C.F.R. 
    Secs.  1118.20(e)-(h). If the Commission does not receive any written 
    request not to accept the Settlement Agreement and Order within 15 
    days, the Settlement Agreement and Order will be deemed finally 
    accepted on the 16th day after the date it is published in the Federal 
    Register.
        19. The parties further agree that the Commission shall issue the 
    attached Order; and that a violation of the order shall subject the 
    Respondent to appropriate legal action.
        20. Agreements, understandings, representations, or interpretations 
    made outside of this Settlement Agreement and Order may not be used to 
    vary or to contradict its terms.
        21. The provisions of the Settlement Agreement and Order shall 
    apply to Respondent and each of its successors and assigns.
    
        Dated: September 16, 1997.
    Respondent Yongxin International, Inc.
    
    Jian Hong Yang,
    Secretary, Yougxin International, Inc., 17870 Castleton Street, Suite 
    260, City of Industry, CA 91748.
    Commission Staff
    Eric L. Stone,
    Director, Division of Administrative Litigation, Office of Compliance.
    David Schmeltzer,
    Assistant Executive Director, Office of Compliance, Consumer Product 
    Safety Commission, Washington, DC 20207-0001.
    
        Dated: September 22, 1997.
    Dennis C. Kacoyanis,
    Trial Attorney, Division of Administrative Litigation, Office of 
    Compliance.
    
    Order
    
        Upon consideration of the Settlement Agreement entered into between 
    Respondent Yongxin International, Inc.,
    
    [[Page 60239]]
    
    a corporation, and the staff of the Consumer Product Safety Commission; 
    and the Commission having jurisdiction over the subject matter and 
    Yongxin International, Inc.; and it appearing that the Settlement 
    Agreement and Order is in the public interest, it is
        Ordered, that the Settlement Agreement be and hereby is accepted; 
    and it is
        Further Ordered, that upon final acceptance of the Settlement 
    Agreement and Order, Yongxin International, Inc. shall pay the 
    Commission a civil penalty in the amount of fifty thousand and 00/100 
    dollars ($50,000.00) in three (3) payments. The first payment sixteen 
    thousand six hundred sixty-seven and 00/100 dollars ($16,667.00) shall 
    be due within twenty (20) days after service upon Respondent of the 
    Final Order of the Commission accepting the Settlement Agreement. The 
    second payment of sixteen thousand six hundred sixty-seven and 00/100 
    dollars ($16,667.00) shall be made within 12 months after service of 
    the Final Order upon Respondent. The third payment of sixteen thousand 
    six hundred and sixty-six and 00/100 dollars ($16,666.00) shall be made 
    within 24 months after service of the Final Order upon Respondent. 
    Payment of the full amount of the civil penalty shall settle fully the 
    staff's allegations set forth in paragraphs 4 through 11 of the 
    Settlement Agreement that Yongxin International, Inc. knowingly 
    violated the CPSA. Upon the failure by Yongxin International, Inc. to 
    make a payment or upon the making of a late payment by Yongxin 
    International, Inc. the entire amount of the civil penalty is due and 
    payable, and the interest on the outstanding balance shall accrue and 
    be paid at the federal legal rate of interest under the provisions of 
    28 U.S.C. Secs.  1961 (a) and (b).
    
        Provisionally accepted and Provisional Order issued on the 4th 
    day of November, 1997.
    
        By Order of the Commission.
    Sadye E. Dunn,
    Secretary, Consumer Product Safety Commission.
    [FR Doc. 97-29501 Filed 11-6-97; 8:45 am]
    BILLING CODE 6355-01-M
    
    
    

Document Information

Published:
11/07/1997
Department:
Consumer Product Safety Commission
Entry Type:
Notice
Action:
Provisional acceptance of a settlement agreement under the Consumer Product Safety Act.
Document Number:
97-29501
Dates:
Any interested person may ask the Commission not to accept this agreement or otherwise comment on its contents by filing a written request with the Office of the Secretary by November 22, 1997.
Pages:
60236-60239 (4 pages)
Docket Numbers:
CPSC Docket No. 98-C0001
PDF File:
97-29501.pdf