As the Philippine government is losing billions of revenues due to illicit trade, particularly cigarettes, the Bureau of Customs (BOC) on Wednesday stressed that it will heed the marching order of President Ferdinand Marcos Jr. for enhanced enforcement against smuggling, as the BOC intensifies its crackdown, resulting in the discovery of P605.29 million worth of smuggled cigarettes from China and Vietnam.
In an inspection conducted pursuant to a Letter of Authority, following intelligence reports from CIIS-MICP led by IO4 Alvin Enciso regarding suspicious warehouse activities, BOC operatives uncovered 8,647 master cases of imported cigarettes without the required Bureau of Internal Revenue (BIR) tax stamps and the Philippine-mandated graphic health warnings.
The operation was spearheaded by the BOC’s Intelligence and Enforcement Groups, in coordination with the Intellectual Property Rights Division, Customs Intelligence and Investigation Service–Manila International Container Port, and Enforcement and Security Service–Port of Manila, as well as the Philippine Coast Guard and barangay officials of Bulihan, Plaridel, Bulacan.
According to the report, three individuals were apprehended during the inspection and are now undergoing inquest proceedings before the Department of Justice.
A Warrant of Seizure and Detention is being readied for violation of Section 263 of the National Internal Revenue Code (NIRC) of 1997, as amended, National Tobacco Administration (NTA) Memorandum Circular No. 02, s.2020, and Section 1113 of Republic Act No. 10863, otherwise known as the Customs Modernization and Tariff Act (CMTA).
In addition, criminal complaints will be filed against the registered owner and proprietor of the warehouse where the illicit cigarettes were discovered.
“Our proactive enforcement ensures that we are fully compliant with President Ferdinand R. Marcos Jr.’s directive to stop illicit cigarettes from infiltrating legitimate trade channels and protect the welfare of our citizens,” Commissioner Ariel F. Nepomuceno said.
In a recent forum this month, Australian-based consultancy firm Rohan Pike said the Philippines loses $2 billion (P114 billion) in revenue in tobacco alone, which is worsening year.
Apart from tobacco, other commodities being smuggled into the country are alcohol and medicines.