P293-M smuggling raps filed vs steel component importer

The Bureau of Customs (BOC) filed with the Department of Justice (DOJ) on Thursday a smuggling complaint against a hot-rolled coils importer that allegedly defrauded the government of P293 million in import duties. Hot-rolled coils are components of steel products. Customs Commissioner Angelito Alvarez noted that from January to July this year, Rapid Forming Coporation imported some 14 million kilograms of hot-rolled coils. However, the company allegedly declared the shipments as steel sheets to avoid paying higher import duties. "The ploy was obviously carried out to cheat the government of millions of pesos since steel sheets have a lower dutiable value than hot-rolled coils," said Alvarez at a news briefing on Thursday. He alleged that Rapid Forming's import entries were undervalued by 55 percent. Under the Customs and Tariff Code of the Philippines, an undervaluation of 30 percent already constitutes prima facie (on first appearance) evidence of fraud. The Bureau of Customs is now requiring Rapid Forming to pay P293 million, "which represents the entire dutiable value of its fraudulent seven-month''s [worth of] shipments." Those named on the charge sheet were: