THE Bureau of Customs (BOC) announced the successful seizure of P219.5 million worth of smuggled diesel fuel in a major operation targeting the illegal “paihi” scheme at the La Union Port on June 19, 2025.
A joint team comprised of the BOC’s Customs Intelligence and Investigation Services-Manila International Container Port (CIIS-MICP), the Philippine Coast Guard (PCG) Task Force Aduana, and the National Bureau of Investigation-Organized and Transnational Crime Division (NBI-OTCD) conducted the operation following intelligence reports.
The operation resulted in the apprehension of the motor tanker Bernadette in the act of transferring approximately 259,000 liters of diesel fuel to two waiting lorry trucks.
A total of 21 individuals were arrested, including the 10 crew members of the Bernadette, and 11 others identified as drivers, porters, lookouts, and accomplices. The crew members were unable to provide documentation to support the legality of their activities. The Philippine Army Security and Escort Battalion provided security support during the operation.
BOC Commissioner Bien Rubio emphasized the significance of the operation in combating the economic and safety risks posed by unmarked, smuggled fuel.
He commended the dedication and efforts of the agents involved, highlighting the risks they undertake to protect consumers and the livelihoods of Filipinos. Deputy Commissioner for Intelligence Group Juvymax Uy echoed this sentiment, assuring that all those involved will face the full force of the law.
Those apprehended will face administrative and criminal charges under Republic Act No. 10863 (Customs Modernization and Tariff Act, CMTA), and Republic Act No. 10963 (Tax Reform for Acceleration and Inclusion, TRAIN Law).
Specifically, charges will be filed against the owners, ship captain, crew, lorry truck owners, and the owner of the seized diesel fuel for violations of Sections 117, 1113, and 1401 of the CMTA. The NBI-OTCD has initiated inquest proceedings against the arrested individuals.
