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FMC Judge Revokes License of Forwarder Involved in Illegal Export Scheme

An administrative law judge on July 18 upheld a March determination by the Federal Maritime Commission that the ocean transportation intermediary (OTI) license of Miami freight forwarder Netcycle Trading should be revoked and that the company should stop its OTI activities.

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The FMC moved to revoke the OTI license after Netcycle’s owners illegally exported nearly 600 stolen outboard motors from the U.S., including by providing false shipping documents to CBP (see 2407010020).

In her decision, Chief Administrative Law Judge Erin Wirth said revocation is "the appropriate remedy" not only because the illegal export was “significant” but because Netcycle failed to report its owners' indictment and conviction in the U.S. District Court for the Southern District of Florida to the commission as required. The likelihood of Netcycle complying with FMC regulations in the future is "low," she said.

Netcycle didn't immediately respond to a request for comment on the judge's decision.