From what we were told, Scatt was illegal to sell or possess in the US because Veta Farm's label for Scatt stated that it *killed* insects (mites/lice). All manufacturers of products that wish to use the word or any variant of "kill" in its advertising or labeling must be registered with the EPA and have a permit.
So, Veta Farm had two options:
1) change it's label so it didn't include the word "kill" or any variant thereof; or
2) obtain the necessary EPA registrations and permits.
Both options would require a serious financial outlay ... we're talking millions of dollars ... on Veta Farm's part. For a long time, Veta Farm did neither but still attempted to export Scatt into the US. The EPA confiscated many shipments and came down on/threatened several distributors/retailers if they didn't remove the product from their website/shelves.
However, we recently noticed that Scatt has a new label. We haven't checked to see what changes Veta Farm has made to it, though. So, we don't know if Veta Farm removed the word "kill" from it's label, has obtained the EPA registrations/permits, or is simply attempting to get more product through US customs.

Michele