Lang Son: Evaluating the realities to handle acts of smuggling and trade fraud

Customs and Border Guard forces seize illegally transported frozen food. Photo: Bùi Quân

Seize nearly 3,600 cases

Over the first seven months of the year, authorities in Lang Son Province have intensified efforts to combat smuggling, trade fraud, and counterfeit goods, effectively preventing the formation of complex networks and hotspots within the province. The situation has been brought under control.

As of August 9, 2024, local authorities have inspected and handled 3,590 cases of smuggling, trade fraud, counterfeit goods, and prohibited items, imposing administrative penalties on 3,135 cases. Total administrative penalties paid into the state budget exceeded VND 4.1 billion.

Authorities have initiated 244 cases involving 342 individuals, including 13 cases involving 27 defendants transporting and trading in prohibited goods (fireworks); 228 cases involving 310 defendants trading, possessing, and illegally transporting narcotics; one case involving one defendant for smuggling; and two cases involving four defendants for illegally transporting goods across the border.

Specifically, the Market Surveillance Force inspected 1,036 cases, resulting in fines of over VND 5.5 billion paid into the state budget; Border Guard forces apprehended 19 cases with fines of VND 471 million; Police inspected and arrested 349 cases with fines exceeding VND 4.7 billion; Forest Protection Forces handled 86 cases with fines over VND 1 billion; and the Tax Authority inspected and imposed penalties on 724 cases, collecting nearly VND 6 billion in fines.

At a recent meeting to evaluate the work of Lang Son Province's 389 Steering Committee, Director of the Lang Son Market Surveillance Department, Dang Van Ngoc, reported that, from the beginning of the year, efforts to combat smuggling, trade fraud, and counterfeit goods in the province have yielded significant results, stabilizing the market and protecting the legitimate rights and interests of businesses and consumers, ensuring the supply and demand of goods. Member agencies and forces of the Lang Son Province's 389 Steering Committee, according to their assigned functions, tasks, and areas, have developed specific plans, scenarios, and solutions suitable for the locality to effectively prevent, inspect, and handle violations.

However, according to the Lang Son Province's 389 Steering Committee, trade fraud in domestic areas related to product quality, food safety, measurement, and the exploitation of e-commerce for fraudulent origins is still occurring. In particular, in some areas near border gates in Trang Đinh and Cao Loc districts, some individuals have been secretly transporting prohibited items such as wood and processed poultry products in small quantities.

Proactively evaluate the situation

Dang Van Ngoc emphasized several existing shortcomings and limitations in the fight against smuggling, trade fraud, and counterfeit goods. He noted that some enterprises exploit the specific characteristics and policies of certain import types (transit, E21, A11, etc.) to engage in smuggling, trade fraud, illegal cross-border transportation, tax evasion, or avoidance of state management policies of commodity.

Specifically, some enterprises have taken advantage of electronic customs clearance policies to commit trade fraud by underdeclaring or misdeclaring the quantity, type, and value of goods to evade import taxes and corporate income taxes. They have also concealed smuggled goods in import cargo vehicles and exploited labeling regulations for imported goods to commit fraud regarding origin.

Furthermore, according to the Lang Son Province's 389 Steering Committee, there are still many difficulties and limitations in the coordinated inspection and handling of violations in certain non-traditional forms of trade. Publicity and management in the e-commerce sector are still inadequate, leading to low efficiency in the inspection and handling of violations. Inspections and controls are primarily focused on business activities on platforms like Zalo and Facebook, with limited oversight of organizations and individuals conducting e-commerce on larger platforms such as Lazada, Shopee, and Tiki.

Looking ahead, Doan Thanh Son, Vice Chairman of the Provincial People's Committee and Head of the Lang Son Province's 389 Steering Committee, has requested that agencies and law enforcement agencies proactively assess the current situation and implementation results according to their respective sectors, fields, and localities. The goal is to identify and pinpoint prominent issues related to target groups, routes, areas, fields, and key commodities, as well as new methods and tactics used in smuggling, trade fraud, and counterfeit goods. This information will be used to timely advise on the development of inspection, audit, investigation, and verification plans for areas and fields with potential complex risks.

Notably, member agencies and forces must resolutely combat, prevent, and severely punish acts of smuggling, trade fraud, and counterfeit goods, preventing the formation of complex networks and hotspots related to these activities within the locality. This includes strengthening cooperation to prevent smuggling and the transportation of smuggled goods both across borders and in domestic areas, as well as continuing to enhance inspection and supervision of anti-smuggling activities by units and sectors to prevent corruption.

Doan Thanh Son requested that the Border Guard force take the lead in coordinating with other law enforcement agencies to strengthen inspection and control of border areas and checkpoints. The Customs force must strengthen measures to prevent and detect acts of smuggling, trade fraud, and the illegal transportation of goods through checkpoints, especially trade fraud through import shipments. The Police force must continue to maintain a firm grasp of the situation, focus on controlling the circulation process, and severely punish individuals transporting goods without legal documents, starting from the domestic area."