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Norriseal to Pay $22,000 Penalty in BIS Anti-Boycott Settlement

Norriseal, a division of Dover Energy, will pay a penalty of $22,000 as part of a settlement of anti-boycott charges by the Bureau of Industry and Security. According to the BIS order, Norriseal, a Texas-based manufacturer of valves and controls, furnished information concerning its business relationships in a boycotted country and failed to report boycott requests to BIS. Norriseal voluntarily disclosed the information to BIS, and the terms of the agreement did not include an admission of guilt by the company.

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According to BIS, at four times in 2007 and 2008, Norisseal guaranteed that it didn’t use any Israeli parts when bidding for contracts tendered by Sui Northern Gas Pipelines Limited of Pakistan. During the same period, Norriseal failed to disclose requests made by Sui Northern in five tender enquiries that “no import shall be permissible from Israel or of goods originating from Israel,” BIS said. The company also failed to disclose a similar boycott request that no material “be sourced from India or Israel” in a purchase order from Pakistani company A G Equipment Co., it said.

In a letter dated May 31, BIS charged Norriseal with four violations of 15 CFR 760.2(d) (“Furnishing Information about Business Relationships with Boycotted Countries or Blacklisted Persons”) and six violations of 15 CFR 760.5 (“Failing to Report the Receipt of a Request to Engage in a Restrictive Trade Practice or Foreign Boycott Against a Country Friendly to the United States”) for its alleged actions

If Norriseal doesn’t pay the penalty within 30 days, BIS will deny its export privileges for one year.