BOC to intensify campaign against fake cigarettes amid TRO

The Bureau of Customs (BOC) remains firm in its position to intensify operations against importers and manufacturers of smuggled and fake cigarettes despite a Temporary Restraining Order (TRO) issued in favor of a cigarette manufacturing company.

A TRO was issued on March 6, 2017 by Judge Tita Bughao Alisuag of the Manila Regional Trial Court, Branch 1, which prevents BOC from conducting raids or inspections at the warehouses of Mighty Corporation for a period of 20 days - from March 3 to 23, 2017.

“Yes, we will abide by the TRO, but we are not discounting the legal remedies available to us to counter the said TRO,” Commissioner Nicanor Faeldon said.

Prior to the issuance of the TRO, BOC and the Bureau of Internal Revenue (BIR) conducted a series of raids which resulted in the seizure of thousands of cases of cigarettes with fake tax stamps amounting to more than a billion pesos.

These operations were carried out upon the issuance of Mission Orders and Letters of Authority from Faeldon. BIR operatives confirmed that the seized tax stamps were fake after subjecting them to authenticity tests.

Faeldon said that Customs authorities will remain on guard at the warehouses of Mighty Corp. to ensure that the seized cigarettes will not be tampered with or swapped with legitimate products.

The BOC Commissioner remains optimistic that after gathering all relevant evidence, the bureau will be able to build a strong case against Mighty Corp.

“We are assuring the public and all legitimate manufacturers and importers of cigarettes or any other products that the BOC will run after illicit traders and smugglers.”

The BOC has exclusive jurisdiction over all seizure and forfeiture cases as per Section 202 of Rep. Act No. 10863 or the “Customs Modernization and Tariff Act” (CMTA).

Section 301 of the CMTA further provides that “[a]ll goods, including means of transport, entering or leaving customs territory, regardless of whether they are liable to duties and taxes, shall be subject to customs control" to ensure compliance with the border security mandate of the BOC under relevant customs laws, rules, and procedures.