Mighty seeks review of Customs suspension

Beleaguered local cigarette manufacturer Mighty Corp. (MC) has asked the Bureau of Customs (BOC) to lift the suspension of its accreditation issued last week.

In a nine-page motion for reconsideration filed by the company’s counsel Atty. Philip Sigfrid Fortun, MC questioned the order of Atty. Alvin Ebreo, Director of Legal Service and Executive Director of BOC released last March 14.

The MC noted that the suspension of its accreditation has no legal basis based on the Revised Guidelines for Registration of Importers and Customs Brokers and the Customs Memorandum Order.

“The grounds and instances where suspension or cancellation or revocation of an importer’s accreditation can prosper: The BOC-AMO discovers any inaccuracy in any of the documents submitted in the application process with the BOC; The accredited importer does not comply with any of the reportorial requirement to be submitted enumerated in the CMO mentioned above and the BOC discovers any violation of law or regulation by the accredited importer,” it said.

The MR added, “For, the Notice of Preventive Suspension issued against MC is premised on a pending administrative case filed with your Office. Unfortunately, the pendency of an administration case is not a ground for suspension, and the policy makers who drafted the memorandum did not include penden­cy of a suit or investigation as a ground therefor since the existence of a case is not determination of guilt.”

With this, the company “ask (a) for the immediate lifting of the suspension of MC’s accreditation as an importer for the reason set forth above, to enable it to release from BOC premises pending lawful compliant shipments indispensable for its continued operations as a 72- year local manufacturing firm, or (b) for provisions for processing, imposition of correct duties and taxes on all of MC’s incoming shipments or those that had already arrived, so as not to disrupt its manufacturing operations and dislocate workers, downstream suppliers, and their families.”

Likewise, it requested “any other just or equitable reliefs available to alleviate the current flight of MC’s suspended importation-accreditation.”

The MR also asked for the setting of a hearing to address other issues and present certified documents, not later than Monday, March 21.

The Bureau of Customs (BOC) last March 14 has suspended MC’s accreditation, thus, barring all import activities of the company.

In a two-page order signed by Ebreo and approved by Deputy Commissioner Natalio Ecarma III, Revenue Collection and Monitoring Group (RCMG), the bureau has found compelling reasons to warrant the issuance of the ruling.

“Acting on the status report Account Management Office (AMO) as contained in attached Memorandum dated March 14, 2017, the undersigned as the designated Hearing Officer in Case No. LS-BATAS-A-01-2017, entitled “Bureau of Customs vs. Mighty Corporation”, and after perusal of the pertinent documents, recommends for the immediate preventive suspension of the customs accreditation of importer Mighty Corporation…” said the order.

The ruling noted that the several raids in the firm’s warehouses located in three provinces also warranted the suspension.

“More importantly, the Bureau’s recent of MC’s warehouses in Zambo­anga City, General Santos City, and San Simon, Pampanga, yielding more than P2.185 billion worth of assorted counterfeit cigarettes, is more than enough reason for the Bureau to immediately suspend MC’s customs accreditation privileges,” it added.

Ecarma noted that the order cut the firm’s privilege to import and transact with the bureau.

The raw materials the company is importing are: tobacco leaf and acetate tow, raw materials to make cigarette.