Probe sought into container van smuggling
The Bureau of Customs (BOC) in Cebu is calling for a nationwide investigation into the smuggling of container vans that is reportedly spurred by high demand by domestic shipping lines, beach resorts, and contractors of pre-fabricated houses.
In his report to BOC's Customs Intelligence and Investigation Service, special investigator Franz Angelo Muñoz said investigation must be undertaken nationwide as these empty container vans from abroad may be sold clandestinely in local markets by unscrupulous shipping agencies.
The Port of Cebu launched the “Oplan: Tincan” on July 7 after receiving information that a company has been selling an enormous quantity of its supposed conditionally importable receptacles without paying taxes and duties.
Muñoz said in his report that the company even disposed of a little less than a thousand of the receptacles in the previous years alone.
The report added that three persons of interest who are all connected to the company had said that foreign container vans were kept in three storage facilities in Cebu City.
BOC-Cebu District Collector Elvira Cruz has sent a demand letter to George Cabuay, general manager of Eagle Express, for the company to pay P37.5 million as duties and taxes for the 768 overstaying vans.
Based on the report, Cruz instructed Eleazar Homecillo of ICCS to submit the whereabouts/ status of the foreign containers.
In a reply, Atty. Filipino Rosales, Jr. of Eagle Express Lines Inc. said the container vans were stolen and sold through criminal means and employment of fraudulent design.
He said they gathered material confession from three suspects that they have connived to steal and sell the said containers.
"We are more than glad given your timely intervention on the matter. It goes without saying that such overstaying stolen containers are dutiable goods under the purview of the Tariff and Customs Law and thus we rewuest that your good office conduct a parallel investigation on the matter," the letter-reply reads.
"Further, we hereby move for the urgent issuance of seizure order of the containers you have just listed for explanation to protect the interest of the government. Needless to say, the government is in great peril of losing customs duties if there will be a delay in recovering the said containers," it added.
Rosales also had the incident blottered at the Cebu City Police Office Police Station 4 at 6 p.m. on July 13 narrating that on July 10, they discovered that about 350 shipping containers went missing while at the containing ward at Diadem Terminal Maritime Services in Realty Inc. in Mabolo, Cebu City and at the Philippines Multiple Freight Services Inc., at Humabon St. at the North Reclamation Area in Cebu City.
Police investigation reportedly ended with the discovery of three employees who allegedly connived in selling the container vans without permission from the company.
But Enciso said, "They blottered the incident only after they received our letter.”
Cruz in her August 10, demand letter to Cabuay said that there is a clear admission by Rosales on behalf of the company that the 768 container vans have not been re-exported on account of alleged theft perpetrated by some of their employees.
"Please be informed that the issue of theft is an internal matter and does not in any way affect the company's liability for duties and taxes arising out from the overstaying container vans," Cruz said.
Cruz added in her letter that, "in relation thereto, demand is hereby made for the payment, within 15 days from receipt of this notice, of the amount of P37,568,832.00 which represents the assessed duties and taxes of the 768 overstaying container vans."
Of the 768 container vans, 430 are 20-footer while the 338 units are 40-footer.
"We are also investigating other shipping agencies in Cebu doing the same thing," Enciso said
Muñoz also recommended for an immediate creation of an inventory team to conduct a back track inventory on all foreign containers catered by the said company in the Port of Cebu beyond the year 2016.
He also recommended that the Oplan: Tincan cover other shipping agencies based in the Province of Cebu that cater to re-exportation of empty foreign containers used in importing imported commodities through the Port of Cebu.