The director of the Customs Department, Miguel Cocco called the department under his successor, Vicente Sanchez Baret a “hangout of thieves.” He accuses his predecessor of fraud to the state for RD$114 billion, and said he will be pressing penal charges after compiling proofs over his first seven months on the job. Cocco had been director of Customs from 1996-2000.
Cocco is optimistic the department will collect at least half of the amount from companies that he says evaded taxes during the past administration. He said legal procedures would be undertaken and those that do not accept to make the payments would be banned from importing, or their manufacturing plants would be closed on charges of trafficking in contraband.
He said that he has proof of perjury against the state and that relatives of former Customs director Sanchez Baret are involved. He mentioned the deputy director Alexis Henriquez, a brother-in-law of Sanchez Baret, his wife Yadira Henriquez, who while Minister of Women in the Mejia government was said to intervene in Customs; and his brother Gilberto Sanchez, in addition to several cousins, as reported in the Listin Diario. Cocco has accused Sanchez Baret of nepotism while in office.
Sanchez Baret, who is the president of the PRD, responded saying that the accusations were just politics and had no legal base. He requested that a fund of RD$150 million handled by Miguel Cocco be looked into, and requested that how Cocco acquired his printing company, Editora Alfa & Omega be also looked into.
Speaking to the press, Cocco also said that the government would be willing to eliminate the exchange surcharge (recargo cambiario) if another source of revenue could be identified to produce the RD$21 billion generated by the tax that is disputed as illegal by the World Trade Organization and Dominican businessmen as a major obstacle to Dominican companies being able to compete.