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Reebok Fined $1M for Faulty Bracelets

Athletic shoe and apparel maker Reebok has agreed to pay a $1 million fine for importing and distributing charm bracelets that contained toxic levels of lead and resulted in the death of a 4-year-old boy.

The civil penalty is the largest ever for a violation of the Federal Hazardous Substances Act and follows a 2006 recall of 300,000 of the Chinese made bracelets, the U.S. Consumer Product Safety Commission said Tuesday.

The previous record fine of $600,000 was paid by Winco Fireworks in 2005 for importing dangerous fireworks from China, according to an agency spokeswoman.

The bracelets were provided as free gifts by Reebok International Ltd. with the purchase of various styles of children's footwear. In March 2006, the company learned that a 4-year-old boy from Minneapolis died after swallowing the bracelet's heart-shaped pendant. There were no other deaths or injuries reported, a CPSC spokeswoman said.

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