Where Industry and Security Intersect
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WASHINGTON -- The Commerce Department today imposed a $298,000 civil penalty on Grove Europe Limited ("Grove Europe"), for 120 alleged violations of the antiboycott provisions of the Export Administration Act and Regulations, F. Amanda DeBusk, assistant secretary for Export Enforcement, announced. The firm manufactures industrial cranes and is located in Sunderland, England.
The Department alleged that, in connection with a total of 19 sales to Libya, Saudi Arabia and the United Arab Emirates in 1989, Grove Europe furnished 105 separate items of information to other persons about its and other companies' business relationships with or in Israel or with companies known or believed to be blacklisted. Also, the Department alleged that, on 15 occasions in 1989, in connection with sales to Libya, Grove Europe agreed to comply with the Arab boycott of Israel and in doing so, knowingly agreed to refuse to do business with Israel or with individuals or companies know or believed to be blacklisted.
Grove Europe voluntarily disclosed the alleged violations to the Department. While neither admitting nor denying the allegations, Grove Europe agreed to pay the civil penalty to settle the case.
The antiboycott provisions of the Export Administration Act and Regulations apply to foreign boycotts fostered or imposed against a country which is friendly to the United States and which is not itself the object of any form of boycott pursuant to United States law or regulation.
The provisions prohibit United States persons, including foreign companies that are controlled in fact by domestic concerns, such as Grove Europe, from refusing to do business, and agreeing to refuse to do business, with or in Israel or with persons believed to be restricted from doing business with or in one or more countries that participate in the Arab boycott of Israel. They also prohibit furnishing information about any person's business relationships with or in Israel or with individuals and companies believed to be restricted from doing business with or in one or more countries that participate in the Arab boycott of Israel.
In April of 2002 the Bureau of Export Administration (BXA) changed its name to the Bureau of Industry and Security(BIS). For historical purposes we have not changed the references to BXA in the legacy documents found in the Archived Press and Public Information.