Latest update January 4th, 2025 5:30 AM
Sep 28, 2010 News
… Container counterfeit cigarette continues
A container of counterfeit cigarettes that was seized last month by authorities in Berbice entered Guyana as women’s underwear, records show.
And to further compound matters, more questions are now being asked. One is how the ‘underwear’ which came in as cargo, processed as being in-transit and then falsely recorded as cigarettes.
The matter is now under investigation at the Guyana Revenue Authority (GRA). Several persons are being questioned, sources close to the probe say. Although GRA has been mum on the cigarettes’ seizure, Kaieteur News understands that Customs outgoing entries to Suriname reflected 900-plus bales of cigarettes which suggested that there was some wrongdoing since goods are not allowed to enter into Guyana as cargo and then changed to “in-transit’.
There were several questions being asked following the seizure. How did the 20-foot container which came here over two months ago as cargo somehow end up being listed as “in-transit”, and as such did not attract the necessary duties and taxes?
Under Customs regulations, any container that arrives here with goods is liable for duties and taxes which are calculated based on set formulas. Nowhere do the regulations allow the “cargo” listing to be changed to “in-transit”.
Even if cargo comes into Guyana, and an importer wishes to export it, it has to be assessed for taxes and duties and these must be paid before it is allowed to leave.
However, according to official sources, something happened when the container was allowed to leave Guyana without any taxes and duties being paid.
While the Guyana Revenue Authority (GRA) has refused to speak on the seizure of the container, saying that the matter is under investigation and the lives of its workers may be under threat, Kaieteur News was told that the container was sitting at a Mandela Avenue terminal for 62 days attracting rental all the time.
However, this changed last month. Two Sundays ago, the container was taken to Berbice where the driver handed it over to another man. It was unclear under what authority it was released and then allowed the container to enter the Suriname/Guyana ferry.
However, the Suriname authorities refused to allow it into the country since it did not have the necessary documentations.
Upon its return, members of the Berbice Anti-Smuggling Squad seized it and on Monday last week, the container was escorted by GRA staffers down to the city.
Counterfeit cigarettes are a multi-million-dollar business with entities in China being known manufacturers.
Local licenced distributors of cigarettes have been complaining of smuggling and counterfeit cigarettes which not only eat into profits but pose even more health risks since regulators are not sure under what conditions the cigarettes are made.
It is estimated that counterfeit cigarettes are being sold around 60 per cent of the market price of the original, a highly lucrative trade, especially when taking into account that not many smokers are aware that what they are smoking is not the real thing.
Sources have said that there is a vibrant underground trade for counterfeit cigarettes in Guyana, with smuggling rampant across the border with Suriname.
It was only a few months ago that GRA seized two Jaguar luxury cars after staffers apparently colluded with a prominent city auto dealer to evade taxes.
Customs entries then reflected a lower engine size than what the cars actually had. With taxes and duties calculated on engine size and year, among other things, several millions of dollars were not paid. The anomaly was picked up and the cars were seized.
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