AUTHORITIES intercept P219.5 million worth of smuggled diesel during an anti-fuel smuggling operation at La Union Port. Photo courtesy of Bureau of Customs
NATION

BOC impounds tanker over P219.5M ‘paihi’ scheme in La Union

TDT

The Bureau of Customs’ (BOC) Customs Intelligence and Investigation Services-Manila International Container Port (CIIS-MICP) seized P219.5 million worth of smuggled fuel at the La Union Port on Thursday, 19 June.

Agents from CIIS-MICP, along with the Philippine Coast Guard Task Force Aduana and the NBI’s Organized and Transnational Crime Division, carried out operations at La Union Port after receiving reports about the “paihi” scheme, which involves the illegal transfer of fuel.

BOC Commissioner Bien Rubio underscored the need to intensify operations against the illegal entry of unmarked fuel in the country, citing not only its economic impact but also the hazard it poses to unknowing consumers.

“The disruption of this paihi modus that brings unmarked fuel into our communities is vital for protecting the lives of our citizens. I am extremely grateful for the dedication and sacrifice of our agents who continue to fulfill their mandates, often times putting their lives at risk by intercepting these smuggling organizations and protecting the lives and livelihoods of hardworking Filipinos,” he said.

BOC-CIIS Director Verne Enciso disclosed that the composite team made up of BOC-CIIS, PCG, and NBI agents caught motor tanker Bernadette in the act of conducting the paihi.

“The MT Bernadette was in the process of transferring diesel fuels to a lorry truck when our team apprehended them at around 9:45 in the evening of June 19. Two lorry trucks were found containing diesel fuel from the motor tanker,” he said.

Initial inventory on 20 June 2025 revealed that the motor tanker was loaded with about 200,000 liters of diesel fuel, while the two lorry trucks had 19,000 liters and 40,000 liters of diesel fuel, respectively, bringing the total to about 259,000 liters.

The 10 crew members of MT Bernadette were unable to show documents proving the legality of their activity at the time of their apprehension.

Aside from the crew members, 11 others identified as drivers, porters, lookouts, and accomplices in the modus were caught, bringing the total number of apprehended individuals to 21.

The NBI-OTCD team immediately began processing the crew, drivers, and other accomplices involved in the fuel smuggling case for inquest proceedings.

Soldiers from the Philippine Army Security and Escort Battalion arrived at the scene to help secure the area during the anti-smuggling operation.

Deputy Commissioner for the Intelligence Group Juvymax Uy praised the operation and said those involved, along with their organizations, would be held fully accountable under the law.

“Our officers’ alertness made this important operation possible,” Uy said. “We applaud their efforts to stop these illegal activities. Every interception like this helps weaken criminal groups and prevent future smuggling.”

Authorities said the vessel’s owners, the ship captain and crew, as well as the lorry truck drivers and the owner of the seized diesel fuel, will face both administrative and criminal charges. These include violations of the Customs Modernization and Tariff Act (Republic Act No. 10863) and the Tax Reform for Acceleration and Inclusion Law (Republic Act No. 10963).