The Bureau of Customs (BOC) has filed a criminal case against three importers and one customs broker involved in the unauthorized release of containers from Mindanao Container Terminal (MCT) in Tagaloan, Misamis Oriental.
Charged in the case filed by BOC on July 18 were Mave Trading and its owner, Meljane B. Mejos; JDan Trading and its owner, Asrafani B. Riga; General Success Merchandise led by its owner, Sherbet S. Alazas; and their customs broker, Raul M. De Leon, Jr.
BOC in a statement said Mave Trading misdeclared seven containers that were found to contain onions used clothing worth P1.605 million with aggregate duties and taxes of P809,579. JDan Trading, on the other hand, brought in 2,167 bags of sugar that were declared as pre-fabricated steel in two container. The bags of sugar were estimated to be worth P4.892 million with aggregate duties and taxes in the amount of P4.153 million.
General Success Merchandise, meanwhile, imported four containers containing 2,316 bags of sugar that were declared as boiler casings. The bags of sugar were worth P4.499 million with aggregate duties and taxes of P3.821 million.
BOC said the three importers and the customs broker violated Section 1400 (Misdeclaration, Misclassification, Undervaluation in Goods Declaration) in relation to 1401 (Unlawful Importation or Exportation) and 117 (Regulated Importation and Exportation) of the Customs Modernization and Tariff Act, as well as Republic Act (RA) 4653, which prohibits the commercial importation of textile articles commonly known as used clothing and rags, and RA 10845 or the Anti-agricultural Smuggling Act of 2016.
BOC said Mave Trading and General Success Merchandise were also involved in the “swing operation” and “release and file entry later” schemes, recently discovered by BOC through information provided to Customs commissioner Isidro Lapeña.
The customs bureau explained that under the “swing operation” scheme, shipments were released from customs custody through the use of a pre-assessment BOC-single administrative document (SAD) print out from the value-added service provider (VASP) with bogus stamp of “subject for x-ray” or “for transfer to MCT-CCA (customs clearance area)”, then spirited out from the port without really passing through MCT-CCA and without the required gate pass issued by the Cargo Control Section. In this method, BOC said the release of the shipments is without the corresponding import entry being filed; thus, no payment of duties and taxes.
On the other hand, the “release and file entry later” scheme is when shipments are immediately released from customs custody with their corresponding import entry filed several days after exiting the port. This method is adopted to avoid timely detection by alerting offices and proper examination of shipments, the customs bureau noted.
154 missing containers
As of press time, BOC said an investigation is still ongoing to uncover all the personalities involved in the said schemes, which latest BOC tally now counts to 154 containers released from MCT illegally. This covers the period January 2018 to June 2018.
In an update on July 13, BOC said it found out about the additional illegally withdrawn shipments from its backtracking of shipments consigned to involved consignees. BOC also identified warehouses where these shipments were suspected to have been delivered.
“I have issued five Letters of Authority to inspect the warehouses where the containers were delivered through swing modus. Among them are Jin Sing Warehouse located at Purok 3, Gusa, Cagayan De Oro (CDO); Jin Sing Enterprise located at HBL Bldg., National Highway, Gusa, Cagayan De Oro City; New Hope Warehouse at Alwana Compound, Cugman, CDO; Golden Rice Warehouse located at Purok 4, Gusa, Galaxy road, CDO; and Jin Sing Grocery in National Highway, Cugman, Cagayan De Oro City,” Lapeña said.
The Customs chief has ensured that all the personalities, including MCT’s port operator and BOC employees, if found to be involved, will be prosecuted to the fullest extent of the law.
Initially, Lapeña has relieved 11 BOC MCT employees from their positions, while another five were administratively charged and preventively suspended.
“I will get to the bottom of this. The investigation will continue until all personalities involved not only in the unauthorized or illegal release of containers but also those involved in what could be a large scale “swing operation” and “release now, file later” schemes are made accountable,” Lapeña stated.
