Colorado Companies Charged in Scheme to Avoid Tariffs, Sell Chinese Goods to U.S. Government
Federal charges are filed against two Colorado companies and some of their executives for a scheme to avoid paying tariffs on forklifts made in China, and then attempting to sell those forklifts to the U.S. government by falsely claiming they were made in the U.S.
The Department of Justice (DOJ) says the companies, Endless Sales and Octone Forklifts, as well as current executives Brian Firkins and Jeffrey Blasdel and former executive J.R. Antczak, ran the scheme from 2018 to 2024.
The defendants allegedly partnered with a Chinese national and a Chinese manufacturer to fraudulently undervalue the cost of the forklifts. The lower valuation helped the companies avoid about $1 million in tariffs and other dues.
Prosecutors say the suspects planned to sell the products to the Department of Defense and the Federal Emergency Management Agency (FEMA).
“Defrauding the United States to profit from goods made in adversarial nations like China undermines our economic and national security,” said U.S. Attorney General Pamela Bondi.
“Federal contractors are expected to be honest in their dealings with the government,” said Deputy Inspector General Robert Erickson of the U.S. General Services Administration Office of Inspector General. “These indictments demonstrate our special agents’ commitment to pursue allegations of procurement fraud and protect the government’s supply chain.”
According to court documents, the defendants added “Made in USA labels” to the forklifts, forged certificates of origin, and stated they were Buy American Act- and Trade Agreements Act-compliant, despite the fact that the forklifts were imported from China. Employees and third parties were allegedly ordered to “de-Chinese” the forklifts by removing “decals, stickers, and inspections tags” showing their Chinese origin.
The defendants are charged with conspiring to commit wire fraud. Firkins, Blasdel, and Antczak are each additionally charged with separate wire fraud charges, and Blasdel is also charged with making false statements to the government.
The investigation was conducted by a wide range of federal, state, and local law enforcement personnel including the U.S. Army Criminal Investigative Division, the U.S. Air Force Office of Special Investigation, and the Defense Criminal Investigative Service.
