Firm Fined for Boycott Compliance
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Firm Fined for Boycott Compliance

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Amid allegations that it complied with the Arab economic boycott against Israel, Nashua Corp, a New Hampshire-based exporter of paper and industrial tape products, has agreed to pay a $26,800 civil penalty levied by the Department of Commerce.

The Commerce Department charged the company with 13 violations of the anti-boycott provisions of the Export Administration Act.

Among the violations were two counts of allegedly agreeing to refuse to do business with banks boycotted by Arab countries, 10 counts of failing to report requests it received to engage in restrictive trade practices or boycotts, and one count of furnishing information about the company’s business relationships with Israel.

Nashua agreed to pay the penalty without admitting or denying the alleged violations.

The Export Administration Act prohibits U.S. companies and individuals from agreeing to observe foreign boycotts, and from furnishing information to boycotting countries about their business relationships in boycotted countries.

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