DTI to contest big fine against Philip Morris

The Department of Trade and Industry is studying moves to counter another court case filed against Philip Morris by Thailand for alleged customs violations.

A recent report said the Thai government through one of its courts fined the cigarette company’s Thai unit $40 million and dropped criminal charges against seven Philip Morris employees.

The charges filed against the company involved the undervaluation of over 270 entries of imported cigarettes from the Philippines between 2003 and 2006.

The incident allegedly cost the Thai government tax losses of more than 306 million baht.

Philip Morris said could not accept the severity of fines imposed on it. The company said it would appeal before the World Trade Organization to consider its plea, adding it had complied with all the rules of the importing country. Othel V. Campos

Prior to the imposition of fines, the Philippines has instructed the WTO in Geneva to request the dispute settlement body secretariat for a meeting with Thailand.