45826 Federal Register / Vol. 74, No. 171 / Friday, September 4, 2009 / Notices 

CONSUMER PRODUCT SAFETY 

COMMISSION 

[CPSC Docket No. 09–C0032] 

TGH International Trading, Inc., a 

Corporation, Provisional Acceptance 

of a Settlement Agreement and Order 

AGENCY: Consumer Product Safety 

Commission. 

ACTION: Notice. 

SUMMARY: It is the policy of the 

Commission to publish settlements 

which it provisionally accepts under the 

Consumer Product Safety Act in the 

Federal Register in accordance with the 

terms of 16 CFR 1118.20(e). Published 

below is a provisionally-accepted 

Settlement Agreement with TGH 

International Trading, Inc., containing a 

civil penalty of $31,500.00. 

DATES: Any interested person may ask 

the Commission not to accept this 

agreement or otherwise comment on its 

contents by filing a written request with 

the Office of the Secretary by September 

21, 2009. 

ADDRESSES: Persons wishing to 

comment on this Settlement Agreement 

should send written comments to 

Comment 09–C0032, Office of the 

Secretary, Consumer Product Safety 

Commission, 4330 East West Highway, 

Room 502, Bethesda, Maryland 20814– 

4408. 

FOR FURTHER INFORMATION CONTACT: 

Belinda V. Bell, Trial Attorney, Division 

of Compliance, Office of the General 

Counsel, Consumer Product Safety 

Commission, 4330 East West Highway, 

Bethesda, Maryland 20814–4408; 

telephone (301) 504–7592. 

SUPPLEMENTARY INFORMATION: The text of 

the Agreement and Order appears 

below. 

Dated: August 31, 2009. 

Todd A. Stevenson, 

Secretary. 

Settlement Agreement 

1. This Settlement Agreement 

(‘‘Agreement’’) is made by and between the 

staff (‘‘staff’’) of the U.S. Consumer Product 

Safety Commission (‘‘Commission’’) and 

TGH International Trading, Inc. (‘‘TGH’’), a 

corporation, in accordance with 16 CFR 

1118.20 of the Commission’s Procedures for 

Investigations, Inspections, and Inquiries 

under the Consumer Product Safety Act 

(‘‘CPSA’’). The Agreement and the 

incorporated attached Order (‘‘Order’’) 

resolve the staff’s allegations set forth below. 

The Parties 

2. The Commission is an independent 

Federal regulatory agency established 

pursuant to, and responsible for the 

enforcement of, the Federal Hazardous 

Substances Act (‘‘FHSA’’) 15 U.S.C. 1261– 

1278. 

3. TGH is a corporation organized and 

existing under the laws of the State of 

California. TGH’s principal place of business 

is located in Los Angeles, California. 

4. At all times relevant herein, TGH 

imported, distributed and sold children’s 

toys, including those that are the subject of 

the Agreement and Order. 

Staff Allegations 

5. On March 17, 2006, TGH introduced or 

caused the introduction into interstate 

commerce and/or received in interstate 

commerce and delivered or proffered 

delivery for pay or otherwise, 8 types of toys 

totaling 6,180 retail units. These toys were 

intended for children under three years old 

and were subject to the Commission’s Small 

Parts Regulation, 16 CFR Part 1501. The toys, 

imported from China, were intercepted by 

U.S. Customs and Border Patrol staff at the 

Los Angeles, California, entry port. 

6. Further staff investigation revealed that 

on several occasions between March 2005 

and June 2006, TGH also introduced or 

caused the introduction into interstate 

commerce and/or received in interstate 

commerce and delivered or proffered 

delivery for pay or otherwise, 5 additional 

types of toys, totaling 5,112 retail units. 

These toys were intended for children under 

three years old and were subject to the 

Commission’s Small Parts Regulation, 16 

CFR Part 1501. 

7. The toys identified in paragraphs 5 and 

6 above are ‘‘consumer products’’ and, at the 

times relevant herein, TGH was a 

‘‘manufacturer’’ of ‘‘consumer products,’’ 

which were ‘‘distributed in commerce,’’ as 

those terms are defined in sections 3(a)(5), 

(8), and (11) of the CPSA, 15 U.S.C. 

2052(a)(5), (8), and (11). 

8. The toys referred to in paragraphs 5 and 

6 failed to comply with the Commission’s 

Small Parts Regulation, 16 CFR Part 1501, in 

that when tested under the ‘‘use and abuse’’ 

test methods specified in 16 CFR 1500.51 and 

.52, (a) one or more parts of each tested toy 

separated, and (b) one or more of the 

separated parts from each of the toys fit 

completely within the small parts test 

cylinder referenced in 16 CFR 1501.4. 

9. Because the separated parts fit 

completely within the test cylinder as 

described in paragraph 8 above, each of the 

toys identified in paragraphs 5 and 6 above 

presents a ‘‘mechanical hazard’’ within the 

meaning of section 2(s) of the FHSA, 15 

U.S.C. 1261(s), and poses a choking, 

aspiration and/or ingestion risk, possibly 

leading to serious injury or death. 

10. Each of the toys identified in 

paragraphs 5 and 6 above is a ‘‘hazardous 

substance’’ pursuant to section 2(f)(1)(D) of 

the FHSA, 15 U.S.C. 1261(f)(1)(D), and is a 

‘‘banned hazardous substance’’ pursuant to 

section 2(q)(1)(A) of the FHSA, 15 U.S.C. 

1261(q)(1)(A), and 16 CFR 1500.18(a)(9). 

11. TGH knowingly introduced or caused 

the introduction into interstate commerce 

and received in interstate commerce and 

delivered or proffered for delivery for pay or 

otherwise, the ‘‘banned hazardous 

substances’’ identified above, as the term 

‘‘knowingly’’ is defined in section 5(c)(5) of 

the FHSA, 15 U.S.C. 1264(c)(5), in violation 

of sections 4(a) and (c) of the FHSA, 15 

U.S.C. 1263(a) and (c). 

12. The aforementioned acts also constitute 

a violation of the 2003 Consent Order 

Agreement entered into between TGH and 

the Commission, which prohibited TGH from 

introducing or causing the introduction into 

interstate commerce or receiving in interstate 

commerce or delivering or proffering delivery 

for pay or otherwise, any banned or 

misbranded hazardous substances as so 

stipulated in the Order arising from the 

Consent Order Agreement. 

13. Pursuant to section 5 of the FHSA, 15 

U.S.C. 1264, TGH is subject to civil penalties 

for the aforementioned violations. 

Response of TGH 

14. TGH denies the staff’s allegations 

contained herein. 

Agreement of the Parties 

15. Under the FHSA, the Commission has 

jurisdiction over this matter and over TGH. 

16. The parties enter into the Agreement 

for settlement purposes only. The Agreement 

does not constitute an admission by TGH or 

a determination by the Commission that TGH 

violated the FHSA or any other Commission 

regulation or requirement. 

17. In settlement of the staff’s allegations, 

TGH agrees to pay a civil penalty of thirtyone thousand five hundred dollars 

($31,500.00) in three installments. The first 

installment of twenty-one thousand five 

hundred dollars ($21,500.00) shall be paid 

within ten (10) calendar days of service of the 

Commission’s final Order accepting the 

Agreement. The second installment of five 

thousand dollars ($5,000.00) shall be paid 

within six (6) months of service of the 

Commission’s final Order accepting the 

Agreement. The third and final installment of 

five thousand dollars ($5,000.00) shall be 

paid within twelve (12) months of service of 

the Commission’s final Order accepting the 

Agreement. Each payment shall be made by 

check payable to the order of the United 

States Treasury. 

18. Upon the failure of TGH to make any 

of the aforementioned payments when due, 

the total amount of the civil penalty shall 

become immediately due and payable, and 

interest on the unpaid amount shall accrue 

and be paid by TGH at the Federal legal rate 

of interest under the provisions of 28 U.S.C. 

1961(a) and (b). 

19. Upon provisional acceptance of the 

Agreement by the Commission, the 

Agreement shall be placed on the public 

record and published in the Federal Register 

in accordance with the procedures set forth 

in 16 CFR 1118.20(e). If the Commission does 

not receive any written request not to accept 

the Agreement within 15 calendar days, the 

Agreement shall be deemed finally accepted 

on the 16th calendar day after the date it is 

published in the Federal Register, in 

accordance with 16 CFR 1118.20(f). 

20. Upon the Commission’s final 

acceptance of the Agreement and issuance of 

the final Order, TGH knowingly, voluntarily 

and completely waives any rights it may have 

in this matter to the following: (i) An 


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Federal Register / Vol. 74, No. 171 / Friday, September 4, 2009 / Notices 45827 

administrative or judicial hearing; (ii) 

judicial review or other challenge or contest 

of the validity of the Agreement and Order 

as issued and entered; (iii) a determination 

by the Commission as to whether TGH failed 

to comply with the CPSA and its underlying 

regulations; (iv) a statement by the 

Commission of findings of fact and 

conclusions of law; and (v) any claims under 

the Equal Access to Justice Act. 

21. The Commission may publicize the 

terms of the Agreement and Order. 

22. The Agreement and Order shall apply 

to and be binding upon TGH and each of its 

successors and assigns. 

23. The Commission issues the Order 

under the provisions of the FHSA, and a 

violation of the Order may subject those 

referenced in paragraph 22 above to 

appropriate legal action. 

24. The Agreement may be used in 

interpreting the Order. Agreements, 

understandings, representations, or 

interpretations apart from those contained in 

the Agreement and Order may not be used to 

vary or to contradict their terms. 

25. The Agreement shall not be waived, 

amended, modified, or otherwise altered 

without written agreement thereto executed 

by the party against whom such amendment, 

modification, alteration, or waiver is sought 

to be enforced. 

26. If, after the effective date hereof, any 

provision of the Agreement and the Order is 

held to be illegal, invalid, or unenforceable 

under present or future laws effective during 

the terms of the Agreement and the Order, 

such provision shall be fully severable. The 

balance of the Agreement and the Order shall 

remain in full force and effect, unless the 

Commission and TGH agree that severing the 

provision materially affects the purpose of 

the Agreement and the Order. 

TGH International Trading, Inc. 

Dated: 7/22/09 

By: lllllllllllllllllll

Teresa Chan, 

President, TGH International Trading, Inc., 

318 East 4th Street, Los Angeles, CA 90013. 

Dated: 7/22/09 

By: lllllllllllllllllll

Kam Louie, Esq., 

301 N. Lake Avenue, Suite 800, Pasadena, 

CA 91101, Counsel for TGH International 

Trading, Inc. 

U.S. Consumer Product Safety Commission 

Cheryl A. Falvey, 

General Counsel. 

Ronald G. Yelenik, 

Assistant General Counsel, Office of the 

General Counsel. 

Dated: lllllllllllllllll

By: lllllllllllllllllll

Belinda V. Bell, 

Trial Attorney, Division of Compliance, 

Office of the General Counsel. 

Order 

Upon consideration of the Settlement 

Agreement entered into between TGH 

International Trading, Inc. (‘‘TGH’’) and the 

U.S. Consumer Product Safety Commission 

(‘‘Commission’’) staff, and the Commission 

having jurisdiction over the subject matter 

and over TGH, and it appearing that the 

Settlement Agreement and Order are in the 

public interest, it is 

Ordered that the Settlement Agreement be, 

and hereby is, accepted; and it is 

Further Ordered that TGH shall pay a civil 

penalty in the amount of thirty-one thousand, 

five hundred dollars ($31,500.00) in three 

installment payments. The first installment 

of twenty-one thousand five hundred dollars 

($21,500.00) shall be paid within ten (10) 

calendar days of service of the Commission’s 

final Order accepting the Settlement 

Agreement. The second installment of fivethousand dollars ($5,000.00) shall be paid 

within six (6) months of service of the 

Commission’s final Order accepting the 

Settlement Agreement. The third and final 

installment of five-thousand dollars 

($5,000.00) shall be paid within twelve (12) 

months of the service of the Commission’s 

final Order accepting the Settlement 

Agreement. Each payment shall be made by 

check payable to the order of the United 

States Treasury. 

Upon the failure of TGH to make any of the 

aforementioned payments when due, the 

total amount of the civil penalty shall 

become immediately due and payable, and 

interest on the unpaid amount shall accrue 

and be paid by TGH at the Federal legal rate 

of interest set forth at 28 U.S.C. 1961(a) and 

(b). 

Provisionally accepted and provisional 

Order issued on the 14th day of August 2009. 

By Order of the Commission. 

Todd A. Stevenson, 

Secretary, U.S. Consumer Product Safety 

Commission. 

[FR Doc. E9–21385 Filed 9–3–09; 8:45 am] 

BILLING CODE 6355–01–P 

DEPARTMENT OF DEFENSE 

Office of the Secretary 

[Transmittal Nos. 09–20] 

36(b)(1) Arms Sales Notification 

AGENCY: Department of Defense, Defense 

Security Cooperation Agency. 

ACTION: Notice. 

SUMMARY: The Department of Defense is 

publishing the unclassified text of a 

section 36(b)(1) arms sales notification. 

This is published to fulfill the 

requirements of section 155 of Public 

Law 104–164 dated 21 July 1996. 

FOR FURTHER INFORMATION CONTACT: Ms. 

B. English, DSCA/DBO/CFM. (703) 601– 

3740. 

The following is a copy of a letter to 

the Speaker of the House of 

Representatives, Transmittals 09–20 

with attached transmittal, policy 

justification, sensitivity of technology. 

Dated: August 26, 2009. 

Patricia L. Toppings, 

OSD Federal Register Liaison Officer, 

Department of Defense. 

BILLING CODE 5001–06–M 


srobinson on DSKHWCL6B1PROD with NOTICES