The government is determined to deal with the case in compliance with the law and ensure lawful rights of enterprises and consumers.
The Ministry of Public Security is investigating electronic firm Asanzo for its alleged trade fraud activities, according to Dam Thanh The, Chief of the Standing Office of the National Steering Committee against Smuggling, Trade Fraud and Counterfeiting Goods, aka Committee 389.
Overview of the conference. Source: VGP. |
The government is determined to deal with the case in compliance with the law and ensure lawful rights of enterprises and consumers, said The at a press conference on January 3.
On October 28, Vice Director General of the General Department of Vietnam Customs (GDVC) Mai Xuan Thanh said Asanzo had committed a series of offenses, including cheating customers, origin fraud, use of fake labels and tax evasion.
Regarding the allegation of cheating customers, Thanh said the assembly processes for some products were not carried out as the firm advertised with modern equipment, but in reality, all processes were executed manually by screwing different parts into complete products.
Moreover, the use of slogan “Advanced Japanese Technology” for some products is inaccurate.
Thanh added Asanzo has not received confirmation from the Ministry of Science and Technology for receiving technology transfer from Sharp Roxy Hong Kong, or completed the payment to the latter.
Customs authority also concluded that Asanzo in fact only assembles products instead of manufacturing them as the added value created after assembling accounts for 1 – 2% of the total cost of a product, while accessories and imported components make up 98 – 99% of the costs.
As a result, these final products are not qualified as made-in-Vietnam and show signs of origin fraud.
At the meeting, representative of the Supreme People’s Procuracy Lai Anh Tuan said there have been signs of tax evasion from Asanzo, including not issuing invoices or using fake ones.
Regarding the case of Binh Duong-based Excel Bicycle Company falsifying the origin of imported Chinese electronic bicycles as Vietnamese origin and later exporting to the US, Nguyen Hung Anh, director of the Anti-smuggling and Investigation Department under the GDVC, said the customs authority would confiscate all bicycles and imported parts subject to export.
According to Committee 389, in the first 11 months of 2019, the customs authority identified 191,000 cases and fined violators with over VND20 trillion (US$865.58 million), up 4% year-on-year, filing a lawsuit for 1,864 cases, up 29%.
At a year-end meeting of Committee 389, government leaders requested more efforts from local authorities against smuggling and trade fraud activities in 2020, aiming to maintain a fair and transparent market and business environment.
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