Jane works for Broker D. Jane neglected to get a Notice of Intent to Export, Destroy, or Return Merchandise for Purposes of Drawback (CBP Form 7553) signed by a CBP Officer prior to the destruction of the merchandise on which Broker D’s client is filing a drawback claim. Jane advises Broker D of the error and her plan to fix the mistake. Jane knows that CBP Officer Smith is a country music fan. When Jane arrives at the Customs House, she asks for Officer Smith. Attached to the CBP Form 7553 is a backstage pass to an upcoming concert by a country star. Jane asks Officer Smith to sign the backdated CBP Form 7553 indicating that CBP will not witness the destruction and tells Officer Smith that she cannot use the backstage pass, but that Officer Smith is welcome to keep it. What liability does Broker D have under the circumstances?(2022 October No.80 – Broker Compliance)
A) Broker D is relieved of liability under 19 CFR 111.28(b)(3).
B) Broker D is potentially liable under the conflict-of-interest regulation at 19 CFR 111.31.
C) Broker D is potentially liable under 19 CFR 111.36 because Jane is an unlicensed person.
D) Broker D is potentially liable under 19 CFR 111.1 for Jane’s potential violations of 19 CFR 111.32 and 111.34.
E) Broker D is potentially liable under the recordkeeping regulations at 19 CFR 190.15.
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The Answer is: D
Citation: 19 CFR 111.1
19 CFR 111.32
19 CFR 111.34
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