Abercrombie & Fitch Fined $1 Million On Immigration Issues

September 29, 2010 · Posted in Business finance 
Kris Alingod – AHN News Contributor

New Albany, OH, United States (AHN) – Abercrombie & Fitch has agreed to pay $1 million to settle fines for violations of immigration laws.

The clothing retailer failed to verify the eligibility of its workers, according to Immigration and Customs Enforcement. An audit in 2008 found the electronic I-9 verification system in the company’s Michigan stores deficient.

Business are required by law to maintain a completed I-9 form for each employee hired to work in the United States.

Abercrombie & Fitch did not knowingly hire illegal aliens and has taken steps to prevent any more violations, according to the immigration agency.

The Ohio-based firm reported domestic revenues of $612.6 million, 8 percent more than the previous year but plans to close 60 stores nationwide because of “natural lease expirations.” The company posted an 85 percent increase in international sales and will open 20 Hollister stores abroad.

Early this week, it announced in a SEC filing that Robert Rosholt had stepped down from its board of directors. The resignation follows the death of the company’s longtime director, Edward Limato, in July.

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