Bid to clamp down on customs fraud

Date: 24/02/2000

By Peter Chapman

European Commission customs watchdogs are planning to 'name and shame' countries believed to be responsible for an influx of fraudulent imports which are costing the Union millions of euro in lost customs duties.

The initiative is aimed at clamping down on exporters in countries subject to high levies who evade them by supplying goods with false certificates which state that they originate from a developing country which benefits from special low tariff rates.

Sources say the Commission will identify both the countries which have issued the most false documents and the sectors where the practice is most rife.

The move would also mean that Union importers could no longer argue that they were merely "acting in good faith" if they were found guilty of importing goods which the Commission's report had identified as having been falsely declared.

Under Union rules, companies can be ordered to repay unpaid duties up to three years after such goods have been imported unless they can prove that they did their best to ensure that the certificates accompanying the products were legal.

The Commission's plans have, however, already come under fire from some industry organisations. Konrad Neundorfer, of importers' group The Foreign Trade Association, said the proposed measures would be inadequate because law-abiding firms would face the same treatment as unscrupulous rivals.

Neundorfer insisted importers should be free of any liability for unpaid customs duties as long as they acted in good faith.

European Commission customs watchdogs are planning to 'name and shame' countries believed to be responsible for an influx of fraudulent imports which are costing the Union millions of euro in lost customs duties.