Lumber Liquidators paying $10M in wood importation probe - Fox29 WFLX TV, West Palm Beach, FL-news & weather

Lumber Liquidators paying $10M in wood importation probe

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NEW YORK (AP) — Lumber Liquidators says it will pay $10 million and plead guilty to five violations of environmental law, including one felony charge, to end a federal investigation into its importation of illegally sourced wood products.

The Justice Department says the wood came from Russia and Myanmar, and that illegal logging in Eastern Russia threatens the habitat of wild Siberian tigers. The DOJ said Lumber Liquidators should have known that the wood was illegally sourced.

The Toano, Virginia, company says the settlement is unrelated to the controversy over some of its laminate flooring from China, which CBS' "60 Minutes" has reported contains high levels of the carcinogen formaldehyde.

The $10 million payment will include a fine, a forfeiture of profits, and contributions to two conservation charities.

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This story has been corrected to say DOJ said Lumber Liquidators should have known that the wood was illegally source, rather than the DOJ said it covered up the origin of the lumber.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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