Indentifying owner of the consignment 26 automobiles temporary imported for re-exported.

Cars evident for the case Dung “iron face”. Photo for Illustration. Source: Internet.

On 5 May. 2013, Investigating Police Agency under the Ministry of Public Security cracked down on "Dung iron face" in which a number of automobiles for temporary import for re-export had been seized belonging to Tuan Dong Co., Ltd in Bac Phong Sinh border gate, Quang Ninh province and NC International Trade Join Stock Company.

Customs agent also undertook an overall examination of the entire temporary import for re-export car operation existing in Vietnam, including 26 cars completing customs procedures already and awaiting to be re-exported to China.

Accordingly, Hai Thang Long Import - Export Trading and Investment JSC temporarily imported 8 cars from its business partner Hao Cuong JSC (HongKong), re-exported to Dong Tien Co., Ltd (China). These cars were already registered to issue customs declaration in Hai Phong sea port Customs Branch zone 3, awaiting for customs clearance in Van Gia border gate (7 cars) and Hoang Mo border gate ( 2 cars) in Quang Ninh province.

Truong Giang Mong Cai Co., Ltd temporarily imported 9 cars from Hao Canh Co., Ltd (HongKong), re-exported to the Que Dang companies, Dong Hung and Trung Quoc. These cars were already registered on customs declaration in Hai Phong sea port Customs Branch

zone 3, awaiting for customs clearance in Van Gia border gate (7 cars) and Hoanh Mo border gate ( 2 cars) in Quang Ninh province.

NC international trading Co., JSC temporarily imported 2 cars from Yi Long Co., Ltd (HongKong), re-exported to the Hung Huy Phong Thanh trading company (China). These cars were already registered to open customs declaration in Hai Phong sea port Customs Branch zone 1, awaiting for customs clearance in Hoanh Mo border gate of Quang Ninh province.

Duc Thinh import and export JSC temporarily imported 7 cars from Long Teng trading JSC (HongKong), re-exported to the Xinh Hui trading company (China). These cars were already completed customs declaration in Hai Phong sea port Customs Branch zone 1, awaiting for customs clearance in Mong Cai border gate (5 cars) and Van Gia border gate (2 cars) in Quang Ninh province.

The cars mentioned above are all related to a subject arrested and investigated by the police –the NC International Trading JSC, which sells cars to Vietnamese companies, buying cars in China under contemporary import, re-export contract. Therefore, Customs agent has delayed re-exporting to process investigation and verification as requested by Investigating Police Agency.

Assessment results presented by Criminal Science Institute – Ministry of Public Security have pointed out that 25 out of 26 cars are brand new, the other is second hand (which belongs to Truong Giang Mong Cai Company) all are on the list of goods suspended from import for re-export business activities.

Moreover, on 4 February. 2015, Investigating Police Agency - Ministry of Public Security submitted a letter to the General Department of Vietnam Customs, imposed a requirement for levying criminal penalties on these 25 cars. In case any sign of criminal law violations is detected, General Department of Vietnam Customs have to act based on the Criminal Procedure Code; and the Investigating Police Agency - Ministry of Public Security have to respond soon so the General Department of Vietnam Customs to proactively exact the penalty on 25/26 cars accordingly, within its jurisdiction.

According to a verification implemented in Hongkong and China, the buying contract signed by Vietnamese and Hongkong Company, invoice, and even packing list are all fake (as the Company in HongKong is a dummy company).

Moreover, trading contracts signed by Vietnamese and Chinese companies are fake as well (as companies do not exist).

Based on a direct work and declaration by the companies (about signed contracts, payment as agreed in contracts and identification of the owner), all 3 companies refuse the ownership of the consignment. The companies including Dong Tien, Que Dang, and Dong Hung in China do not exist due to inability in clarifying the ownership.

As the identification of the exhibit’s owner still remains unknown, Customs agents have announced widely on the mass media and published on headquarters of Vietnam Customs but after 30 days, the owner did not present to receive the whole consignment.

During the investigation and verification, the authorities have to face up with numerous difficulties that needs to await for authoritative order from senior leaders, such as the subject to investigation fled without cooperation, verification done from overseas, verification released from banks, press publishing, etc in order to assess the roots of the incident.

Recently, 3 companies namely Hai Thang Long, Truong Giang Mong Cai and Duc Thinh have submitted proposal letters and documents for continuously addressing this case In the letters, it is affirmed that their companies just offer services for some Chinese partners, which may not be considered as temporary import for re-export as regulated in the Comercial Law. It is the Chinese partners who are responsible for temporary import, re-export procedure to legalize the freight. The companies themselves do not own that consignment. So any enquiry to return the cars for re-export seems to be unreasonable.

Meanwhile, Anti-smuggling and Investigation Department (General Department of Vietnam Customs) has received an SOS letter for withdrawal from Truong Giang Mong Cai Co., Ltd. This company admits its unawareness of the law’s regulation and express deep remorse for collusion with Hai Thang Long and Duc Thinh Company in submitting letter to the authorities which reflects and proposes untruthfully the case. This company will also voluntarily abide with any penalty regulated by the authorities for automobile temporary imported for re-exported in 2003 without any complains or questions.

After investigation, Customs agents and Investigating Police Agency made final decision of not bringing this case to prosecution as the owner still remained unknown. Therefore, the confiscated cargos will then be added to public funds as regulated.

Now, Customs department of Hai Phong city is handling this case under the government’s regulation.