New York Sankyo Seiko Co., Ltd.

Text (OCR of the scan at left; may contain errors)

order.

Ix THE :.IATTER OF Rely YORK SAKKYO SEIKO CO., LTD., ET AL.

CONSENT ORDER, ETC., IX REGARD TO THE ALLEGED VIOLJ,TlOX OF THE FEDEK\I TR--\DE COi\DUSSION AX!) THE FLDDJ.\BI F AERICS ACTS Docket C- 6BB. Complaint, Jan. 1964-Dect8ioll. ,Jail. , 1964 Consent order requiring Ne\v York City importers of fabrics to cease violating the Flammable Fabrics Act lJy importing anel sellng in C011merce fabrics so highly flammable as to be dangerous when word. CO::IPLAIXT Pnrsnant to the provisions of the Federal Trade Commission Ac.t Rlld the Flammable Fabrics Act, and by virtue of the authority vested ill it by sa.id Acts, the I, ederal Trade Commission, having reason to believe that ew York Sankyo Seiko Co., Ltd., a corporation, and Takizo 1\Iiki: Takamori 1\:ono and Tamotsll Ohara, indivic1. ually and as offcers of the said corporation hereinafter referred to ,, KEW YORK SANKYO SElKO CO. LTD. ) EI' AL. 343 342 Decision as respondents, have violated the provisions of said Acts, and the Rules and Regulations promulgated under the Flammable Fabrics Act and it appearing to the Commission that a proceeding by it respect thereof would be in the public interest, hereby issues its com plaint, stating its charges in that respect as follows: P ARAGRc\PH 1. Respondent ew York Sankyo Seiko Co., Ltd. , is a corporation organized, existing and doing business under and by virtue of the laws of the State of New York. Respondents Takizo l\liki, Takamori l\.ono, and Tamotsu Ohara are president, vice presi dent and treasurer and secretary, respectively of :Kew York Sankyo Seiko Co., Ltd., the corporate respondent. The individual respondents participate in the fonllulation, direction and control of the facts, practice,s and policies of said corporation. All respondents have their,' offces and principal place of business located at 303 Fifth Avenue, Ke"\v York, New York.

The respondents are engaged in the importation into the United States of fabrics and in the sale and distribution of such imported Lbrics.

PAR. 2. Respondents, subsequent to July 1 , 1954, the eiTective date of the Flammable Fabrics Act, have sold ,md offered for sale, in commerce; have imported into the United States; and have introduced, delivered for introduction, transported, and caused to be transported, in commerce; and have transported and ca.,used to be transported for the purpose of sale or delivery after sale, in commerce; as "commerce" is defined in the Flammable Fabrics Act fabric, as that term is deilned therein, which f Lbric was, under Section 4 of the Flammable Fabrics Act, as amended, so highly flammable as to be dangerous when worn by individuals. PAR. 3. The aforesaid acts and practices of respondents were and are in violation of the Flammable Fabrics Act and the Rules and Hegulations promulgated thereunder, and as such constitute unfair methods of competition and unfair and de,ceptive acts and practices in commerce within the intent and meaning of the Federal Trade Commission.

DECISION A ORDER Tlw, Commission having heretofore determined to issue its eOI1plaint charging the respondents named in the caption hereof with violation of the Federal Trade Commjssion Act and the FJa.mmable abrics Act a,nc1 the respondents having been serycc1 with notice of said determination and wjt,h a copy of the complaint the Commission intended to issue, together with a proposed form of order; and The respondents and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by 344 FEDERAL TRADE CO:\ nSSION DECISIONS Order 64 F.

respondents of all the jurisdictional facts set forth in the complaint to issue herein, a statement that the signing of said agreement is for settlement purposes only and docs not constitute an admission by respondents that the law has been violated as set forth in such complaint, and waivers and provisions as required by the Commission rules; and The Commission, having considered the agreement, hereby accepts same issues it.s compla.int in the form contemplated by said agree. melli, makes the following jurisdictional findings, and enters the follm,ing order:

1. New York Sankyo Seiko Co. Ltd., is a corporation organized existing and doing business under and by virtue of the laws of the State of New York with its offce and principal place of business located at 303 Fifth Avenue, New York, New York. Respondents Takizo Miki, Takamori Kono and Tamotsu Ohara are offcers of New York Sankyo Seiko Co., Ltd. , and their address is the same as that of the said corporation. 2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents and the proce,ecling is in the public interest.

ORDER I. It is ordered That the respondent K ew York Sankyo Seiko Co. Ltd. , a corporation, and its omceTs, and respondents, Takizo l\Iiki Takamori I ono and Tamotsu Ohara! individually and as offcers of said corporation, and respondents' representatives, agents and employees, directly or through any corporate or other device, do forthwith cease and desist from:

(aJ Importing into the United States; or (b) Selling, oHering for sale, introducing, delivering for introduction, transporting, or causing to be transported, in commerce, as ' commerce" is defined in the Flammable Fabrics Act; or .

(c) Transporting or causing to be transported, for the pur pose of sale or delivery after sale in commerce any fabric which, under provisions of Section 4 of the said Flam mable Fabrics Act, as amended, is so highly flammable as to be dangerous when worn by indi viduals.

P,' ovided, however That nothing contained herein shah affect any rights afforded to the respondents by Section 11 of the Flammable Fabrics Act.

THE SCffVARZENBACH HUBER CO. , IXC. ) ET AL. 345 342 Syllabus II. It i8 fllrther ordered That respondents hereinbefore named furnish to the Federal Trade Commission within is days after service of this order a special report which:

(a) Contains a list of the names and addresses of all of the corporate respondents: customers to whOln shipme,nts were made since .July 1, 1963, of fabric style AK 777 and/or quality 745 or 748 and/or of any other fabric which under the provisions of Section 4: of the said Flammable Fabrics Act, as amended, is so highly flammable as to be dangerous when worn by individuals. (b) Shows that respondents have notified in writing the customers of the corporate respondent to whom any of the shipments referred to in subparagraph (a) above were made, as to the questionable flammable nature of the fabrics contained in such shipments.

(c) Contains copies of the aforesaid notification to each of the customers referred to in subparagraph (a) and copies of any and all responses to the aforesaid notification. III. It is fllTthe?' ordend That respondents shall forward to the Commission, within two (2) days after receipt thereof, copies of any and all responses to the notification required by Subparagraph (c) of Paragraph II above which are received by respondents after the due claJe of the aforesaid special report. IV. It is fllrther o?'dered That the respondents herein shall within five (5) clays after service upon them of this order, file with the Commission a report in writing setting forth in detail the manner and form in which they IU1YC complied with Paragraph I of this order.