President Mohamed Muizzu has ordered action against five Customs employees after referring to parliament recommendation over the removal of cigarette cartons from a bonded warehouse.
In a post on X, Muizzu said the parliamentary Committee on Security Cervices (241 Committee) studied the matter and sent a letter to him. He said two deputy commissioners will be dismissed from the Customs.
Three other Customs employees will also face necessary action in accordance with the rules and regulations, Muizzu announced.
The cigarette cartons were illegally smuggled into the country on an oil tanker belonging to The Hawks company. They were seized by Customs and kept in a bonded warehouse. However, the cigarettes were secretly removed from the warehouse.
Customs seized 8,475 cigarette cartons (84,000 cigarette packs or 1.695 million cigarette sticks). They were seized in October 2024.
The government has increased the tax on tobacco and cigarettes from November 1, 2024. The tax was increased from MVR 3 per cigarette to MVR 8. The tax on other tobacco products has been increased by 50 percent.
Following tax hike, counterfeit cigarettes have flooded the market, forming a large-scale black market among smokers. Various brands of cigarettes are now available at much cheaper rates.
