Philippines probes US$370 million cash-smuggling racket involving Chinese nationals

The customs bureau says two syndicates were suspected of sneaking in cash through Manila airport with the help of government officials

Couriers were paid up to US$2,570 per trip to smuggle in cash amounts larger than the US$10,000 allowed by law, according to a report by the head of customs

4-MIN READ4-MIN

Under Philippine law, no travellers are allowed to take more than US$10,000 in cash in or out the country. File photo: AFP

Published: 8:14pm, 3 Mar 2020Updated: 9:56pm, 3 Mar 2020

Philippine authorities are investigating the smuggling of about US$370 million in cash through Manila airport, after a lawmaker sounded the alarm that Chinese nationals were entering the country via Hong Kong with excessive funds and assisted by government officials.

The Bureau of Customs said it had identified two syndicates – a “Chinese group” that had sneaked in about US$168 million, and a “Rodriguez group” that smuggled in some US$200 million, between December 17 last year and February 12 this year.

According to Philippine law, travellers can carry up to US$10,000 or its equivalent in any foreign currency, in or out of the country. Any amount above that can still be brought in for as long as it is covered by a signed declaration as to its source and purpose, according to a 2006 Philippine Central Bank circular. The bureau said the handful of Chinese travellers who brought in excessive amounts had declared these would be used for travel, casino or investments.

Finance Secretary Carlos Dominguez said he was familiar with the matter because he had seen a report by Customs Commissioner Rey Leonardo Guerrero, and on Tuesday directed the customs bureau and the Anti-Money Laundering Council to investigate further.

Guerrero, in his report dated January 29, said the cash was brought in by couriers who were paid from 12,000 to 50,000 pesos (US$620 to US$2,570) per trip.