Criminal Defense Lawyers

The HSI agent standing in your warehouse doesn’t care that you’ve been in business for 20 years. They don’t care that you thought your customs broker was handling everything correctly. They care about the $2.3 million in undervalued shipments their audit uncovered—and whether you’re facing 10 years in federal prison. Your spouse is calling. Your employees are watching. The agent is asking whether you want to “cooperate” or “call someone.” You’ve got maybe 72 hours to make the decision that determines if you walk away with a fine or spend the next decade behind bars.

Here’s what actually happens when your import/export business becomes a federal criminal case, which agencies are involved, and the critical decisions you face right now.

Look, here’s the deal. When Homeland Security Investigations (HSI), U.S. Customs and Border Protection, or IRS Criminal Investigation shows up, you’re in a narrow window where everything you say and do matters. Most business owners think cooperating immediately proves they have nothing to hide.

This assumption is incorrect.

The evidence they already have shows a pattern: misclassified goods, undervalued invoices, and exports without proper licenses. They wouldn’t be at your door if they didn’t think they had a case. The question ain’t whether you did something wrong. The question is whether it’s a civil violation you can fix with money or a criminal case that destroys everything.

Federal agents investigating import/export violations typically come from one of these agencies:

If HSI is involved from the start, regardless of what they say about “routine questions,” they’re looking at criminal prosecution. CBP handles civil stuff. HSI handles putting people in prison. That’s the difference.

But here’s the thing nobody tells you—the informal $100,000 threshold. Based on prosecutorial economics and actual case patterns, if the alleged duty loss or violation value is under $100K and appears unintentional, it is likely to remain civil. Over $100K? You’re getting serious attention. Over $250K? You’re almost definitely facing criminal referral to the U.S. Attorney’s Office. Over $1M, like the recent Indonesian jewelry company case in November 2025 involving $136 million in duty evasion? They want prison time.

What you do in the first 72 hours:

Do not talk to federal agents without a lawyer present. I don’t care how innocent you think you are. I don’t care if you believe cooperating shows good faith. Every statement you make—even “I thought my broker handled that”—becomes evidence. The agent who seems sympathetic is building a case, not helping you.

If agents show up without a warrant and ask to “have a conversation,” you have the right to politely decline and say you’ll have your attorney contact them. If they have a search warrant, let them execute it, but don’t answer questions beyond identifying yourself. Don’t try to “explain” anything because you’ll make it worse.

If you receive a grand jury subpoena or target letter, you have a short window to potentially prevent charges through pre-indictment negotiation with the Assistant U.S. Attorney handling the case. But only with experienced counsel who knows the AUSAs in that district.

Different agencies have different goals, different tools, and different standards for prosecution. Understanding who is investigating you determines your entire strategy.

The Bureau of Industry and Security (BIS) enforces export controls under the Export Administration Regulations. BIS is primarily administrative – they want compliance programs fixed, civil penalties paid, and export privileges maybe suspended. They can refer cases to the DOJ for criminal prosecution, but a lot of BIS investigations stay civil if you cooperate and fix the violations. Civil penalties from BIS can reach hundreds of thousands or millions per violation, but you’re not going to prison.

Office of Foreign Assets Control (OFAC) enforces U.S. sanctions programs. Here’s the thing—OFAC has the authority to freeze your business bank accounts before any criminal charges are filed. They operate on a civil administrative track that runs parallel to any criminal investigation. So you could be negotiating with prosecutors while OFAC freezes every dollar you own, destroying your ability to pay for defense or keep your business running. This is the biggest trap nobody warns you about. OFAC doesn’t care about intent—strict liability. If your company did business with a sanctioned entity or individual, even unknowingly through intermediaries, OFAC can impose penalties that exceed $1 million per violation.

State Department Directorate of Defense Trade Controls (DDTC) enforces the International Traffic in Arms Regulations (ITAR). ITAR violations involve defense articles (such as military equipment) or defense services (military-related assistance) and are taken very seriously. Criminal penalties (prison time or fines for breaking the law) under ITAR can reach up to $1 million and ten years imprisonment per violation. Civil penalties from DDTC (financial fines for breaking rules but not crimes) can also exceed $1 million per violation.

Homeland Security Investigations (HSI) is the criminal investigative arm. When an HSI leads the investigation—especially if they’re working with IRS-CI—you’re facing potential criminal charges. HSI investigates smuggling, duty evasion, export violations, and trade-based money laundering. They execute search warrants, flip cooperators, and build conspiracy cases. Their goal is prosecution, not compliance.

U.S. Customs and Border Protection (CBP) is the frontline. They inspect shipments, assess duties, and detain cargo. Most CBP activity is administrative. But when CBP finds something that looks intentional—systematic undervaluation, trans-shipment through third countries to hide origin, falsified documents—they refer to HSI for criminal investigation. The recent November 2025 case, where CBP supported HSI and IRS in a trade fraud probe, shows this coordination.

If CBP contacts you about “discrepancies,” it could go either way. If HSI contacts you, assume criminal. If OFAC contacts you, expect frozen accounts. If BIS contacts you, you might resolve it civilly if you act fast.