BOSTON, July 17, 2026 /PRNewswire/ — Whistleblower Law Collaborative LLC (WLC) is pleased to announce that the United States has settled a False Claims Act case alleging customs fraud brought by one of its clients against New York Packaging II LLC d/b/a Redi-Bag USA and Jeffrey Rabiea, its CEO and Owner.
As part of that settlement, New York Packaging II LLC, Redi-Bag USA, and Jeffrey Rabiea agreed to pay $7.3 million to resolve allegations that they violated the False Claims Act by misrepresenting the country of origin on bulk importations of polyethylene retail carrier bags (PRCBs) made in China. The defendants evaded paying millions of dollars in anti-dumping duties by falsely reporting to U.S. Customs that the merchandise was made in Hong Kong instead of China.
The $7.3 payment also resolves allegations that Mr. Rabiea and his companies covered up and removed “Made in China” markings on shipments of Chinese-made merchandise and also cancelled other bulk shipments of PRCBs after learning those shipments would be inspected by U.S. Customs officials.
Government Emphasizes Need to Protect Border Integrity by Pursuing Businesses That Unlawfully Evade Customs Duties
In announcing the successful conclusion of the Redi-Bag USA case, senior government officials cited the need to protect U.S. workers and businesses from unfair and unlawful evasion of customs duties.
Antidumping duties help protect American taxpayers, workers, and businesses…our Office will continue to vigorously investigate and pursue allegations that businesses are evading those duties through unlawful conduct.
U.S. Attorney Robert Frazer for the District of New Jersey
With this settlement, we are protecting the integrity of our nation’s borders and holding those who attempt to evade customs duties accountable…. We continue to work closely with our partners to safeguard fair trade and support lawful commerce.
Rodney S. Scott, Commission of U.S. Customs and Border Protection
WLC Applauds Client Contributions and Government Efforts
Whistleblower Law Collaborative commends the outstanding efforts of its client in identifying a multiyear customs fraud scheme and assisting the government in putting an end to that unlawful and unfair conduct.
Bruce C. Judge, of Whistleblower Law Collaborative who acted as the lead attorney in the False Claims Act case, stated:
“Over a number of years, New York Packaging, Redi-Bag USA and Jeffrey Rabiea made significant profits by fraudulently under-paying customs duties on merchandise manufactured in China and destined for U.S. markets. That fraud was invisible to U.S. Customs until our client brought it to the government’s attention. After alerting the government to the significant customs fraud violations, our client worked with investigators and supported federal law enforcement efforts to bring the case to a successful conclusion. It was a privilege to represent a client committed to putting an end to an unlawful customs scheme which cost taxpayers millions of dollars.”
Mr. Judge continued, “we join our client in commending an outstanding team of government attorneys and investigators who diligently pursued the allegations in our False Claims Act complaint and held those who profited accountable for their actions.”
Whistleblower Law Collaborative devotes its practice entirely to representing whistleblowers.
If you have information about a company evading import duties, Anti-Dumping/Countervailing Duty orders, Section 301 tariffs, failing to properly mark country-of-origin on imported goods, or committing other trade law violations, we urge you to contact us for a free and confidential consultation. Whistleblower cases are essential to the full and fair enforcement of U.S. customs laws.
For more information, contact the firm at 617.366.2800 or email Bruce C. Judge at bruce@whistleblowerllc.com or David W. S. Lieberman at david@whistleblowerllc.com.
SOURCE Whistleblower Law Collaborative LLC