168 Mall faces closure after Customs raid

Manila's famous DV 168 Mall faces possible closure after government authorities discovered that almost all of the items being sold in the mall were smuggled, ABS-CBN News learned Thursday.

Joint elements of the Bureau of Customs (BOC), Manila Police District and the National Bureau of Investigation raided the mall Thursday morning after receiving complaints from the Retailers Association of the Philippines.

BOC Commissioner Napoleon Morales said raiders confiscated at least P80 million to P100 million worth of imported products being sold in different stalls in the mall.

Morales said the goods were confiscated after stall owners failed to show documents of tax payments to the BOC. He added that stall owners could redeem their goods once they present the proper documents before the Customs office.

President Arroyo said the raid was one the "biggest raids in the history of the Philippines" involving at least 500 BOC agents.

"Five hundred customs agents are involved in this giant raid and this is going to fight corruption. This is going to raise revenues. This is going to protect businessmen who are doing legitimate production and this is the kind of reform we will continue to do alongside our political reforms to make the process of our lawmaking more attuned to the new flat economy," she said.

The Philippine Retailers Association earlier filed a complaint before the finance and trade and industry departments because of unfair competition created by 168 Mall, which attracts customers that cut across economic classes.

Manuel Tan, a regular customer of 168 Mall, said the products being sold in the mall has the same quality as those being sold in other famous malls in Metro Manila."Mas mura dito pero 'yung quality halos the same rin ng mamahalin (It's cheaper here and the quality of the goods almost the same as the expensive ones)," Tan told ABS-CBN.

The Philippine Chamber of Commerce and Industry earlier said it would probe alleged smuggling in Divisoria. The association said it would also go after the illegal Chinese aliens who were reported working in 168 Mall.

Late last year, retailers reported a 50-percent decline in sales owing to competition from 168 Mall, which offers much cheaper prices.