HCM City Customs prosecutes or requests to prosecute more than 30 cases of importing banned goods

Drugs were hidden in parcels seized by Ho Chi Minh City Customs. Photo: T.H

Anti-smuggling and trade fraud in the first half of 2021 has been actively and drastically implemented by the HCM City Customs Department, so it promptly detected and seized many large, complex and dangerous cases, contributing to the fight against loss of State revenue, protecting the interests of people and businesses, and ensuring economic and social security.

As of June 30, HCM City Customs Department has detected 713 violations, with the value of exhibits more than VND 353 billion. Of which, the unit issued decisions to prosecute two criminal cases; transferred to other authorities to propose to prosecute 34 cases, including 29 cases of drug crimes.

Among the cases of prosecution, there was a typical case on June 10. Saigon port area 1 Customs Branch (HCM City Customs Department) issued a decision to prosecute a criminal case of "trading banned goods" related to VHC Global Co., Ltd. for importing nearly 1.5 tonnes of used rubber gloves. When importing this shipment, the firm declared them as household rubber gloves, for household use and was not medical gloves, unbranded goods, brand new 100%, imported from China, valued at more than VND 1.8 billion.

Through conducting an inspection and based on the inspection certificate, the Customs authority concluded the goods were wet, torn, colourful rubber gloves, mixed with impurities such as dust, soil, sand and were stained.

In addition, in the first six months of 2021, the HCM City Customs Department transferred case files to police investigation agency of the HCM City Police Department to investigate and prosecute 34 cases of violations, including 29 cases of drug crimes, an increase of more than 40% over the same period.

It not only prosecuted and proposed to prosecute many cases of importing and transporting banned goods, but HCM City Customs Department also discovered many cases of exporting law infringing goods.

At the beginning of May, Saigon port area 1 Customs Branch prosecuted the case of smuggling against Thao Khoa Import-Export Trading Service Co., Ltd (District 3, HCM City). This company opened a customs declaration and declared export goods as 13.5 tonnes of unwrought aluminum alloy ingots, cooked from cans by melting and casting, with an export tax rate of 5%. The declared value of goods was more than VND 486 million.

By checking documents, the Export Cargo Procedures Team - Saigon Port Area 1 Customs Branch discovered suspicious signs, changed to conduct a physical inspection and collected samples for assessment. As a result, the actual exported goods were 24 tonnes of “copper alloy, raw ingot form; unsuitable to be slag, copper ore or copper scrap” (double than the declared quantity), while the export tax rate was 15%. The value of infringing goods was over VND 3.8 billion; the tax difference was more than VND 550 million.

It is suspected that the firm intentionally declared the wrong name, quantity, and code of goods to evade tax with a huge tax difference of more than VND 550 million. After discussing the case with the People's Procuracy of HCM City, Saigon Port Area 1 Customs Branch prosecuted the crime of "smuggling", transferring the case file to the HCM City Police for investigation in accordance with its competence.

With the characteristics of State management in the area having many seaport border gates, international airports, international post offices, import and export activities are concentrated at 11 customs units. Smuggling and trade fraud in the management area of HCM City Customs Department is complex and there often appear many new forms of fraud such as origin fraud, trademark counterfeiting, and infringement of intellectual property rights, taking advantage of outsourcing, production, export, transit, borrowing, and transshipment to avoid trade remedies, economic protection, and illegal transport of goods.

Cases of transportation of narcotics to and from the Vietnamese territory have increased compared to the previous year and the tricks are also more sophisticated.

To effectively manage import-export activities, and immigration through HCM City border gates, HCM City Customs Department is continuing to implement many plans and projects to fight and prevent violations of the law on customs.