A broker may NOT be assessed a penalty under 19 USC1592 unless the:
A. violation solely involves a failure to exercise responsible supervision and control over the customs business it conducts
B. violation involves gross negligence or negligence and the broker did NOT share in the benefits of the violation
C. broker is culpable and the violation involves gross negligence or negligence and the broker shared in the benefits of the violation or if the violation involves fraud
D. broker has an activity code 1 Customs Bond on file prior to the issuance of the penalty
E. broker’s license or permit has been revoked or suspended before the issuance of the penalty
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The Answer is: C
Citation: 19 CFR 171, App B (K)
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