Formation and Authority of the Audit Team
- The Special Assistant for Warehousing and Operations, Office of the Commissioner, is directed to form the Audit Team.
- The Audit Team is vested with authority to require ICBW Operators to produce necessary documents for audit.
Required Documentation for Audit
- Documents to be produced include but are not limited to:
- Export documents such as Certificate of Inventory (CI), Certificate of Importation and Listing (CIL), Boatnote, Bill of Lading (BL), Export Declaration (ED) for direct exports.
- Approved Authority to Sell/Transfer documentation.
- Constructive Warehousing Entry filed by the buyer for indirect exports.
- ITDI Formula of Manufacture and Company Profile.
- Export documents covering sale and transfer of imported raw materials to other CBWs, clients, end-users, or PEZA-registered enterprises.
- Failure to produce requested documents will be considered as non-existence of such documents.
Support and Cooperation from Relevant Divisions
- Warehouse Operating Divisions must provide Account Officers the records of importation, exportation, and other related documents.
- Bonds Division must furnish the Audit Team with a certified list of open entries for the ICBW under audit.
Reporting and Recommendations
- The Audit Team must submit a comprehensive and detailed report within 30 days from issuance of the Mission Order.
- If findings are unfavorable to the ICBW, recommendations may include:
- Issuance of demand letters.
- Suspension of warehousing privileges.
- Imposition of Section 1508 of the Tariff and Customs Code of the Philippines (TCCP) on future importations.
- Revocation of license or permit.
- Prosecution for criminal liability of involved persons under the amended TCCP.
Effectivity and Compliance
- The Customs Memorandum Order is effective immediately upon issuance.
- The Order remains in force until expressly revoked.
- Strict compliance by all concerned authorities and stakeholders is mandated.