Accountability
FTC fines pro-Trump apparel company $200,000 for falsely advertising products as ‘Made in USA’
Utah-based company “Lions Not Sheep” has been fined over $200,000 by the FTC (Federal Trade Commission) for knowingly misleading customers into believing their products were made in the USA.
The FTC said in their findings that the genuine “Made in China” stickers were replaced with fake “Made in USA” stickers.
The company’s owner, Sean Whalen, has been told to cease putting fake “Made in USA” stickers on their product. Whalen has also been ordered to pay a fine totaling $211,335, according to the FTC website. Whalen’s company specializes in merchandise with slogans such as “Let’s Go Brandon,” “Give Violence a Chance” and “Shall Not Be Infringed.”
FTC’s Director for the Bureau of Consumer Protection Sam Levine said in a statement on the FTC website: “Companies that slap phony Made in USA labels on imported goods are cheating their customers and undercutting honest businesses, and we will hold those companies and their executives accountable for their misconduct. American consumers have the right to know the truth about where their clothes and accessories are made.”
The FTC complaint stated that Whalen posted a video on his Twitter, which he called “Made In America!” In this video, he documented the process of concealing “Made in China” stickers by replacing them with stickers that said “Made in USA.”
The FTC issued a press release as they voted 5-0 in favour of charging Whelan. “Whalen and Lions Not Sheep must stop claiming that products are made in the United States unless they can show that the product’s final assembly or processing—and all significant processing—takes place here and that all or virtually all ingredients or components of the product are made and sourced here,” the press release said.
If they wish to use a “Made in USA” tag, Lions Not Sheep must ensure that the product is “substantially transformed in the United States, its principal assembly takes place in the United States, and U.S. assembly operations are substantial,” and also notify consumers of “the extent to which the product contains foreign parts, ingredients or components, or processing,” the press release went onto say.
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