On November 28, 2012, the U.S. Department of Justice announced that Jin Qing Huang, 57, a citizen of the People's Republic of China, was sentenced in the U.S. District court to 16 months imprisonment followed by one year of supervised release for understating the value of merchandise imported from China into the U.S. to avoid paying antidumping duties.
According to the plea agreement, from 2006 to 2010, Huang controlled Woncity and other corporations that imported merchandise, including plastic bags and other restaurant supplies, from China. Plastic bags exported from China are subject to a 77.57% antidumping duty. On July 19, 2007, Huang imported merchandise into the U.S., falsely stating that the value of merchandise was $52,494, when in fact the value was $82,196. Similarly, on May 22, 2008, Huang falsely stating that the value of imported goods was $10,073, when in fact the value was $30,118. Huang admits that he underpaid the legally required duty on imports, charged and not charged in this case, by an amount between $5,000 and $10,000.