International Vitamin Corporation – $22.865 Million Settlement
Case name: United States of America ex rel. Welin v. International Vitamin Corporation
Case type: Whistleblower/Qui Tam
Filed in: U.S. District Court for the Southern District of New York (S.D.N.Y.)
Sanford Heisler Sharp and the U.S. Government settled a whistleblower action under the False Claims Act (“FCA”) with International Vitamin Corporation (“IVC”), a leading importer of dietary supplements, in January 2023. As part of the settlement, IVC agreed to pay the government $22.865 million. The relator, who is represented by Sanford Heisler Sharp, will receive 20% of the settlement—over $4.5 million. The case alleged that IVC systematically skirted customs duties on thousands of imports of nutritional supplements from China between January 1, 2015 and September 13, 2019 by fraudulently reporting incorrect tariff classifications and duty rates on the imports. The Complaint also alleged that IVC knew that it had evaded more than $10 million in duties but failed to inform the Government and pay the duties as required under applicable law.
- International Vitamin Pays $22 Million To Settle Fraud Lawsuit, Bloomberg Law, January 31, 2023
- Vitamin Biz Agrees To $22.8 Million Deal To End Customs Fraud Suit, Law360, January 31, 2023