Rules and Regulations on Seizure Proceedings

November 16, 1993

CUSTOMS ADMINISTRATIVE ORDER NO. 009-93

 

By authority of Section 608 of the Tariff and Customs Code of the Philippines in relation to Republic Act No. 7651, the following rules and regulations governing the issuance of warrants and seizure and detention, the conduct of seizure proceedings and the procedure on appeals of the decision of the Collector of Customs to the Commissioner of Customs and to the Secretary of Finance, are hereby promulgated.

TITLE I

Title and Construction

SECTION 1. These Rules shall be known as the Rules and Regulations on Seizure Proceedings.

SECTION 2. These Rules shall be liberally construed to carry out the objectives of the Tariff and Customs Code of the Philippines as amended and to assist the parties in obtaining just and expeditious disposition of seizure cases.

TITLE II

General Provisions

SECTION 3. The Collector of Customs upon making any seizure shall issue a warrant for the detention of the property.

SECTION 4. If the owner or importer desires to secure the release of the property under seizure for legitimate use, the Collector of Customs shall surrender it upon filing of a sufficient cash bond in an amount to be fixed by the Collector of Customs subject to the following conditions:

a) That the amount of the cash bond shall not in any case be less than the appraised value of the article plus fine, expenses and costs that may be adjudged in the case.

Appraised value shall mean the dutiable value of the article plus duties, taxes and other customs charges.

b) That there is no prima facie evidence of fraud attendant to the importation;

c) That the importation of the article is not prohibited by law; and

d) That the release under cash bond has been approved by the Commissioner.

SECTION 5. The release of the property under cash bond shall not relieve the owner or importer of the goods from criminal liability arising from the importation/exportation of the shipment.

TITLE III

Grounds for the Issuance of Warrant of Seizure

SECTION 6. Upon probable cause that the articles were imported or attempted to be exported contrary to Tariff and Customs Laws, the Collector of Customs shall issue a Warrant of Seizure and Detention in Customs form W7651, hereto attached as Annex A.

SECTION 7. In the formal hearing, uncontroverted facts shall be stipulated on and issues to be heard shall be agreed upon in order to abbreviate the proceedings. The determination shall be made whether or not there is a violation of law from the facts and evidence presented. The District Collector of Customs shall then render a decision. cdt

TITLE IV

Review by the Commissioner

SECTION 8. Appeal. — The person/party aggrieved by the decision or action of the Collector in any case of seizure may within fifteen (15) days after receipt of the notice in writing of the action or decision of the Collector of Customs, file a written notice to the Collector of Customs, copy furnished the Commissioner of Customs of his intention to appeal such action or decision of the Collector of Customs to the Commissioner of Customs.

Upon perfection of the appeal, the Collector of Customs shall immediately transmit all the records of the proceedings to the Commissioner of Customs.

An appeal filed beyond fifteen days shall be deemed dismissed.

The Commissioner of Customs shall approve, modify or reverse the Collector of Customs' decision or action and take such steps and make appropriate orders as may be necessary to enforce or give effect to his decision.

SECTION 9. Automatic Review by the Commissioner on Action or Decision of the Collector of Customs Adverse to the Government. — Action or decision of the Collector of Customs adverse to the government shall be automatically reviewed by the Commissioner.

The records of the case involving decision/action of the Collector of Customs, adverse to the government shall be elevated within five (5) days from the promulgation of the decision of the Collector of Customs.

From receipt of the records of the case, the Commissioner of Customs shall render a decision on the automatic review within thirty (30) days.

The decision of the Commissioner of Customs reversing the adverse decision of the Collector of Customs, on automatic review, shall be final and executory.

SECTION 10. In case the Commissioner of Customs affirms the adverse decision of the Collector of Customs, the records of the proceedings shall be elevated to the Secretary of Finance within five (5) days from promulgation of the decision by the Commissioner of Customs.

In case the Commissioner of Customs fails to render a decision on automatic review on the adverse decision of the Collector of Customs within thirty (30) days from receipt of the records the case shall be deemed automatically appealed to the Secretary of Finance. The records of the proceedings shall be elevated by the Commissioner of Customs to the Secretary of Finance. The records of the proceedings shall be elevated by the Commissioner of Customs to the Secretary of Finance within five (5) days after the lapse of thirty (30) day review period. If the adverse decision of the Collector of Customs is affirmed by the Secretary of Finance, the affirmed decision shall become final and executory.

If the value of the imported article under seizure is P5,000,000.00 or more, the adverse decision of the Collector of Customs shall be deemed automatically appealed to the Secretary of Finance.

If within thirty (30) days from receipt of the records of the proceedings by the Secretary of Finance, no decision is rendered by him, the Commissioner's or the Collector's decision under appeal as the case may be, shall become final and executory.

SECTION 11. A decision by the Collector of Customs on the merits of the case as contemplated in Section 7 hereof which fully or partially releases the shipment under seizure is an adverse decision subject to automatic review.

SECTION 12. In any seizure proceeding, the release of imported articles shall not be allowed unless and until a decision of the Collector of Customs has been affirmed in writing by the Commissioner of Customs. cdta

TITLE V

Authority of the Commissioner to Promulgate Additional

SECTION 13. The Commissioner of Customs may promulgate additional or implementing rules and regulations in connection with the disposition of abandoned articles.

TITLE VI

Repealing and Effectivity Clause

SECTION 14. This Order supersedes all other previous orders, memoranda, or circulars issued which are in conflict or inconsistent with this Order and any provision thereof shall be deemed amended or modified accordingly.

SECTION 15. This Order shall take effect fifteen (15) days after its publication in the Official Gazette or in two newspapers of general circulation.

 

(SGD.) GUILLERMO L. PARAYNO, JR.Commissioner

APPROVED:

 

(SGD.) ERNEST C. LEUNGActing Secretary of Finance

Published in Malaya on November 19, 1993 and the Manila Standard on November 18, 1993.

ANNEX

Department of FinanceBUREAU OF CUSTOMSManila

Republic of the Philippines Seizure Identification

 - versus - No. ________________

WARRANT OF SEIZURE AND DETENTION

TO:

GREETINGS :

WHEREAS, the above-described articles were seized for having been imported in violation of ___________________________________

WHEREAS, the said article/s is/are at present in the custody of the _________________________________.

WHEREFORE, by virtue of the authority vested in me by law, and in compliance with pertinent customs laws, rules and regulations, you are hereby ordered to forthwith seize the aforementioned articles and turn them over to the custody of the Auction and Cargo Disposal Division of this Port, compliance with Customs Memorandum Order No. 8-84, particularly on the matter of making a return of service and the submission of the inventory report or list of the article/s seized are to be strictly observed.

SO ORDERED.

Port of Manila, Philippines, ____________________.

District Collector of Customs

cc:

1. Unit/Office in custody of the articles

2. Chief, ACDD cd

3. Consignee/Claimant

4. Apprehending Unit/Office

5. Director, POS

6. Resident Auditor, COA