Binondo raid yields P4.8-B smuggled vapes, fake products

A whopping P4.8 billion worth of illegally imported vapes and counterfeit goods, among other items, were seized by the Customs Intelligence and Investigation Service - Manila International Container Port (CIIS-MICP) and the Philippine Coast Guard in a raid in Binondo, Manila, the Bureau of Customs reported Monday.

According to the report of BoC-CIIS Director Verne Enciso, his personnel, alongside teams from the Enforcement and Security Service-MICP and the PCG, also seized smuggled cosmetics and fake merchandise in a raid last 6 September.

“The team found boxes of copyright-infringing goods from luxury brands, like Dior to popular characters for kids such as Hello Kitty and Spiderman. Based on the initial inventory of these counterfeit items, we peg the market value to be around P4.8 billion. I’ve seen my fair share of big-time operations, but amounts like this still astound me to this day,” he added.

In particular, the BoC-CIIS director shared that different floors of the storage building were found to contain possibly smuggled disposable vapes, vape accessories, and branded garments and bags with brands such as Gucci, Louis Vuitton, Dior, Adidas, Nike, and NBA.

There were also school supplies of popular characters such as Hello Kitty, Spiderman, and Disney characters, as well as aerosols, cosmetics, tools, and other general merchandise.

Pending the final inventory of the goods by the assigned Customs examiner, the BOC team temporarily padlocked and sealed the affected storage areas.

Intelligence Group Deputy Commissioner Juvymax Uy underscored the BOC’s commitment to border protection and combating the entry of counterfeit items into the market that could cause irreparable damages to the retail industry.

“With each successful operation, I am confident that the agency is not only doing its mandate, but also saving our industry’s reputation. The magnitude of this operation is impactful as this warehouse could very well be the source of many stores that sell fake goods. We are nipping the bud and rooting out the source of this corruption,” he said.

The warehouse owners and operators were given 15 days from the service of the LOA to submit documents to show that the subject imported goods were legitimately imported and that correct duties and taxes were duly paid under Section 224 of the Customs Modernization and Tariff Act (CMTA).

If they fail to present the proper documents, they can face charges for violating Section 117 (regulated importation and exportation) and Section 1400 (misdeclaration in goods declaration) in relation to Section 1113 (property subject to seizure and forfeiture) of the CMTA.

They will also face charges under Republic Act 8293, otherwise known as the Intellectual Property Code of the Philippines and Republic Act 10963, or the Tax Reform for Acceleration and Inclusion (TRAIN Law).