First Brands Hit With US Claim for Alleged Tariffs Fraud (1)

The US government has joined the line of creditors impacted by alleged fraud at bankrupt auto-parts maker First Brands, in this instance for accusations the company cheated on how much it should have paid on tariffs.

First Brands was hit with a formal claim for $285.5 million related to allegations that it underpaid levies on parts imported from China. The figure includes a demand for penalties as well as the unpaid tariffs.

That claim, which has not been previously reported, adds to the $11.8 billion in debts the company cannot fully repay. To pay creditors at least some of ...