Amid an intensified crackdown against the “paihi” modus, or the illegal transfer of fuel, the Bureau of Customs (BOC) seized on Wednesday a fuel tanker and four lorries that were caught in the act of transferring smuggled fuel at the Port of Batangas. 

A tip received by the BOC-Customs Intelligence and Investigation Service (BOC-CIIS) led to a joint operation by the CIIS and Enforcement and Security Service (ESS) that caught a vessel transferring petroleum products into four lorry tankers. 

Subsequent SGS fuel marking testing on the subject fuel confirmed that the fuel did not have proper markings indicating payment of duties and taxes.

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This prompted District Collector Noah Dimaporo of the BOC-Port of Batangas to issue  a warrant of seizure and detention on the fuel, vessel, and lorries.

“Our swift response and thorough investigation led to this successful seizure. The illegal transfer of fuel undermines our efforts to ensure proper tax collection and fair competition in the industry,” said Dimaporo. 

BOC Commissioner Bienvenido Rubio said the operation was in response to several information received about rampant "paihi" modus in the ports.

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“We have been monitoring them for months and finally, they are now on our hands. It’s the relentless effort and commitment of our officers to their mandate that led to the seizure of unmarked fuel, tanker and lorries,” he said.

The owners, ship captain, and crew of the seized vessels, fuel, and lorries will face possible charges for violation of Section 1113 in relation to Section 1401 of Republic Act 10863, or the Customs Modernization and Tariff Act (CMTA), as well as Section 80 of RA 10963, or the Tax Reform for Acceleration and Inclusion (TRAIN) Law.