Perfectus Aluminum Inc., Perfectus Aluminum Acquisitions LLC, and four affiliated warehousing companies agreed on May 12, 2026, to pay $549.5 million to resolve False Claims Act allegations that they systematically evaded customs duties on aluminum products imported from China [1]. The Department of Justice Civil Division announced the settlement, describing it as one of the largest customs fraud recoveries in the statute's history [1].
The allegations centered on the companies' alleged scheme to avoid antidumping and countervailing duties assessed on Chinese aluminum under U.S. trade law. U.S. Customs and Border Protection enforces those duties, which are designed to offset artificially low pricing and foreign government subsidies that disadvantage domestic producers [1]. The False Claims Act permits the federal government to recover treble damages and civil penalties from parties that knowingly submit false or fraudulent claims, including false customs declarations. California-based Perfectus Aluminum was the lead entity among the six defendants, which collectively operated warehousing and distribution infrastructure supporting the alleged evasion [1].
The settlement resolves civil liability without a public admission of wrongdoing, which is standard in False Claims Act civil resolutions. The DOJ Civil Division handled the matter, consistent with its role in litigating trade-related fraud claims where the false statement is made to a federal agency rather than in the context of federal contracting [1]. The $549.5 million figure encompasses amounts attributable to duties the government contends were deliberately underpaid across the relevant import period [1].
The case reflects a sustained enforcement posture by the Justice Department on trade fraud involving Chinese goods, an area that has drawn increased resources as antidumping and countervailing duty orders on Chinese aluminum have remained in place for years. Importers who reroute goods through third countries or misclassify products to avoid those orders face both civil exposure under the False Claims Act and potential criminal liability under customs statutes. This settlement, if it stands without further litigation, would rank among the highest False Claims Act recoveries not tied to healthcare or defense contracting, signaling that trade and customs fraud is a priority recovery target [1].
No individual defendants were identified in the Civil Division's announcement. It is not yet clear whether parallel criminal referrals were made or whether any relator filed the underlying qui tam complaint that may have initiated the action.