A lucrative enterprise
The Philippine Star - Opinion
Where can you find 16 luxury vehicles, including Mercedes-Benz and BMW sedans, with a total value of only P1 million? Only at the Subic Bay Freeport Zone, which appears to be turning into a processing zone for smuggled vehicles. A private company had complained about the release from the free port of 16 luxury vehicles that had been impounded for the non-payment of taxes and duties. Apart from the Mercedes-Benz and BMW cars, the 16 include Cadillac Escalade pick-ups, a Corvette convertible and several sport utility vehicles. The brand-new vehicles were classified as used ones with a total assessed value of only P1 million, for which P2.558 million was paid in duties and taxes including value-added tax for their release.
Responding to the complaint, the Department of Finance filed charges against six officials of the Bureau of Customs: Josephine Dullas, acting chief of the certificate of payment unit; examiners Orlando Ronquillo, Rustico Mallari and Enrico Cruz; and appraisers Ebrahim Pangakatan and Rodolfo Casis. Five more Customs personnel are under investigation in connection with the case.
The only good news here is that suspects were identified and now face formal charges. But how many other Customs personnel get away with similar activities every working day? Such activities have thrived despite the computerization of certain Customs procedures and the adoption of additional measures to plug opportunities for corruption.
Can the Bureau of Customs ever clean up its act? Only if there is political will to crack down on the biggest smugglers, who flourish because they enjoy the protection of those in power. Unless Customs personnel see leadership by example in the campaign against corruption, there is little incentive to end a lucrative enterprise. Even the recent destruction of luxury vehicles impounded in Subic became mired in controversy amid reports that the vehicles were in fact old. The engines of several of the vehicles had reportedly been cannibalized.
Legitimate businessmen have long complained about the destructive economic consequences of unfair competition posed by smugglers, but the activity is simply too profitable for all those involved to give up. The finance department can sustain its campaign to rid the Bureau of Customs of the corrupt only if there is full support from the top.
Where can you find 16 luxury vehicles, including Mercedes-Benz and BMW sedans, with a total value of only P1 million? Only at the Subic Bay Freeport Zone, which appears to be turning into a processing zone for smuggled vehicles. A private company had complained about the release from the free port of 16 luxury vehicles that had been impounded for the non-payment of taxes and duties. Apart from the Mercedes-Benz and BMW cars, the 16 include Cadillac Escalade pick-ups, a Corvette convertible and several sport utility vehicles. The brand-new vehicles were classified as used ones with a total assessed value of only P1 million, for which P2.558 million was paid in duties and taxes including value-added tax for their release.
Responding to the complaint, the Department of Finance filed charges against six officials of the Bureau of Customs: Josephine Dullas, acting chief of the certificate of payment unit; examiners Orlando Ronquillo, Rustico Mallari and Enrico Cruz; and appraisers Ebrahim Pangakatan and Rodolfo Casis. Five more Customs personnel are under investigation in connection with the case.
The only good news here is that suspects were identified and now face formal charges. But how many other Customs personnel get away with similar activities every working day? Such activities have thrived despite the computerization of certain Customs procedures and the adoption of additional measures to plug opportunities for corruption.
Can the Bureau of Customs ever clean up its act? Only if there is political will to crack down on the biggest smugglers, who flourish because they enjoy the protection of those in power. Unless Customs personnel see leadership by example in the campaign against corruption, there is little incentive to end a lucrative enterprise. Even the recent destruction of luxury vehicles impounded in Subic became mired in controversy amid reports that the vehicles were in fact old. The engines of several of the vehicles had reportedly been cannibalized.
Legitimate businessmen have long complained about the destructive economic consequences of unfair competition posed by smugglers, but the activity is simply too profitable for all those involved to give up. The finance department can sustain its campaign to rid the Bureau of Customs of the corrupt only if there is full support from the top.
posted by OlongapoCity Zambales at
6:39 AM
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