2 men arrested for evading more than S$400,000 in duty and GST; 4,150 cartons of contraband cigarettes seized

SINGAPORE: Two men were arrested last week after they were caught with 4,150 cartons of duty-unpaid cigarettes, Singapore Customs said on Monday (May 8).

The duty and Goods and Services Tax (GST) evaded on the cigarettes amounted to S$444,216 (US$335,150).

The two men, aged 19 and 26, were arrested in the course of two operations in Tuas on May 3. Both men are Singaporeans.

Singapore Customs said its officers in the Tuas Bay Close area saw a man opening the side compartment of a van.

The vehicle appeared to contain "black squarish objects", added the agency. 

Following a check, the officers uncovered 2,072 cartons of duty-unpaid cigarettes in the van and arrested the man. A second man subsequently seen approaching the van was also arrested.

Singapore Customs investigations revealed that the first man had allegedly been engaged by the second man to collect the van at Tuas Bay Close and deliver the duty-unpaid cigarettes.

The officers conducted a follow-up operation and checked on another van at Tuas Avenue 2, which led to the discovery of another 2,078 cartons of duty-unpaid cigarettes. 

The contraband cigarettes and the two vehicles were seized.

"The total duty and GST evaded amounted to about S$407,530 and S$36,686 respectively," said Singapore Customs, adding that further investigations are ongoing.

Under the Customs Act and the GST Act, it is an offence to buy, sell, convey, deliver, store, keep, possess or deal with duty-unpaid goods.

Those found guilty of such offences face up to six years in prison, a fine up to 40 times the amount of duty and GST evaded, or both.

Vehicles used in the commission of such offences are also liable to be forfeited, Singapore Customs said.