The Obama Administration Gave Them Lemons, They Made Lemonade

The American Thinker posted a follow-up story today about the government’s 2011 raid on Gibson Guitar Company.

The article reminds us of the details of the raid:

In 2011, the Department of Justice conducted raids on the Tennessee facilities of the famed Gibson Guitar company and confiscated large quantities of tonewood that had been imported from India and Madagascar.  The action included armed SWAT teams, with automatic weapons, who apparently feared being garroted with a guitar string by an enraged Gibson employee.  These raids were conducted due to the Lacey Act, which bans the importing of certain woods.  The issue at hand was not that the wood was endangered or illegally harvested, but that it was not of the proper thickness that would have meant that some labor had been performed on it by workers in India and Madagascar.  This was the law in Madagascar and India as a nod to the unions in those countries.  Gibson, who hand-makes its guitars, cannot guarantee the craftsmanship of its products if a portion of the work is done outside their facilities.

There were a number of problems with the justification for this raid. India and Madagascar, the countries involved, were not interested in pursuing the matter. The guitar manufacturers CF Martin and Company and Fender.use the same kind of wood, and they were not raided.

The article reports:

The principle difference seems to be that those companies contributed to Democratic candidates, while Henry Juszkiewicz, the CEO of Gibson, gives openly to Republicans, and Gibson has plants in a right-to-work state.

This is pretty much old news, but there is a new twist to the story. Gibson had a special use for the wood the government returned to it.

The article concludes:

Gibson took that wood and made it into the Government Series II Les Paul.  These special edition guitars are hot stamped in gold with the Government Series graphic, which is an American bald eagle holding a Gibson guitar neck.  It is an admirable statement of defiance of an abusive government and a refusal of a historic American company to be intimidated.

Score one for the good guys!

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The Right To A Speedy Trial

Today Hot Air posted a story about the ongoing saga of Gibson Guitar Company. As you know Gibson Guitar in Memphis and Nashville was raided in August of last year (see rightwinggranny.com) by the federal government and charged with violating the Lacey Act. During that raid, the government confiscated property worth at least $500,000. The guitar manufacturer had not followed to the letter a small part of India’s laws in importing the wood for its guitars. They had not violated United States laws.

Hot Air reports:

Apparently, Gibson used an inappropriate tariff code on the wood. According to Reason.tv, “At issue is not whether the wood in question was endangered, but whether the wood was the correct level of thickness and finish before being exported from India.” In other words, Gibson’s violation had nothing to do with forest preservation.

So how is the case progressing? The article reports:

Turns out, the DOJ has filed no charges. That means Gibson hasn’t had its day in court to defend itself — and the government still has all that confiscated property.

Thankfully, according to the article, Kentucky Republican Sen. Rand Paul has introduced legislation to amend The Lacey Act to remove each and every mention of “foreign law” in the Act and to substitute a civil penalty system with The Lacey Act’s current criminal penalties.

I hope this is resolved quickly–Gibson needs its wood–they make fantastic guitars.

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The Wall Street Journal Comments On Gibson Guitar

Gibson Les Paul Invader

Image via Wikipedia

Kimberly Strassel at the Wall Street Journal (unfortunately, subscribers only) posted an opinion piece on the August raid on Gibson Guitar by federal agents. The charges against the guitar company are rather complicated.

Ms. Strassel reports:

The company, after all, is not accused of importing banned wood (say, Brazilian mahogany). The ebony it bought is legal and documented. The issue is whether Gibson ran afoul of a techinical Indian law governing the export of finished wood products. The U. S. government’s interpretation of Indian law suggests the wood Gibson imported wasn’t finished enough. Got that?

This whole episode was a set-up. The idea was to discourage imports. In 2007, the Lacey Act, which was passed in 1900 to stop trade in illegal wild game, was expanded to cover “plant and plant products” and related items.

The article reports on the impact of this change on one company:

Furniture maker Ikea noted that even if it could comply with the change, the “administrative costs and record-deeping requirements” would cause furniture prices to “skyrocket.” The wood chips that go into its particle-board alone could require tracking back and reporting on more than 100 different tree species.

If you want to see an economy grow, this is not the way to grow it. Tennessee Representatives Marsha Blackburn and Jim Cooper are working to give companies some relief from this insanity. This is, unfortunately, another example of run-away government.

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The Continuing Attack On Gibson Guitars

Gibson guitar SG Standard 1969

Image via Wikipedia

The Nashville Business Journal reported on Wednesday that federal authorities filed a complaint in U.S. District Court for the Middle District of Tennessee that mirrors a 2010 action that sought official forfeiture of wood obtained in a 2009 raid of Gibson facilities. The latter of those cases has been stayed, pending the outcome of the most recent suit.

The article reports:

As has been the case in previous allegations, at issue is the classification of certain wood imported to the United States from India. Namely, a June shipment of 1,250 sawn logs was classified as “finished parts of musical instruments,” which is allowed under Indian law. In reality, according to the sworn affidavit of Fish and Wildlife Service agent Kevin Seiler, the wood was unfinished – a violation of the Lacey Act.

There are a few interesting facts about this action. First of all, the laws of India were totally complied with–the Obama administration is the problem. Second of all, the question is not the wood–the question is whether or not the wood is unfinished. Think about that a minute. If people in India do the job, it is okay with the government. If people in America do the job, the Obama administration raids their company. I thought the Obama administration was trying to keep jobs in America.

I am sure that it is simply an incredible coincidence that one of Gibson Guitar’s main competitors is a major contributor to Democrat Party coffers.

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