The Customs Department has announced the discovery of a consignment of varied smuggled goods in 86 containers, and an unprecedented agreement with the company that imported the material, which has accepted to pay RD$817 million in unpaid taxes and penalties, as reported in Listin Diario. Speaking at a press conference, Customs Director Miguel Cocco stated that merchandise worth US$3.9 million, real estate and RD$16 million in accounts receivable has been seized in this case. The smuggling operation was conducted by an importer of hardware materials. The real estate seized includes an ultra-modern warehouse, three other warehouses on a central avenue and another on Lope de Vega Avenue. The company, whose name was not disclosed, undervalued merchandise worth RD$146 million. Cocco said that the Customs Department would be auctioning the small warehouses, while keeping the larger one to store impounded merchandise. The large warehouse is valued at RD$600 million. Cocco reported that a total of 26 employees were fired from the Customs Department for their involvement in this case. The causes of the firings range from active participation, negligence, suspicion, to ignorance. The smuggling operation was detected through post-shipping investigations that determined the undervaluation of RD$146-million worth and the discovery of the containers full of merchandise. The sanction applied was 15 times the unpaid taxes plus a 20% fine, for a total of RD$817 million. The company accepted the terms without complaining. Cocco does not disclose the name of the company for legal reasons, but it is known that it is a supplier to the major hardware stores in the country. The accused were arrested. The smuggling operation took place in 2003 through the ports of Punta Caucedo and Haina Oriental.
Diario Libre indicates that payment of the RD$817 million will be made by turning over the real estate to the government. Among the property seized is a four-story building on Lope de Vega Avenue and a warehouse on Jacobo Majluta Avenue. The latter will be auctioned.