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OKK Trading has agreed to pay a $665,000 civil penalty for allegedly importing and selling toys containing high levels of lead, in violation of a federal ban on lead paint on toys.

The penalty settlement was reached between the company and the Consumer Product Safety Commission (CPSC) and announced on Thursday.

Lead can be toxic if ingested by young children and can cause adverse health consequences.

The settlement also resolves several other allegations that the company knowingly imported and sold art materials, games, pacifiers and rattles that violated federal safety standards.

In agreeing to the settlement, the company denies the allegations.

The CPSC also announced this month that Mattle Inc. and its Fisher-Price subsidiary agreed to pay a $2.3 million civil penalty for importing and selling toys with excessive levels of lead.

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