Cebu Police Seize Millions in Smuggled Cigarettes in Major Tax Evasion Bust
Cebu Police Seize Millions in Smuggled Cigarettes

Cebu Police Uncover Major Smuggling Operation with Millions in Contraband Cigarettes

In a significant crackdown on illicit trade, the Cebu City Police Office (CCPO) executed coordinated raids across multiple locations in Cebu City on Thursday, February 19, 2026, resulting in the seizure of smuggled cigarettes valued at millions of pesos. The operation, which began in the afternoon, targeted establishments suspected of evading taxes and distributing contraband goods, marking a substantial blow to illegal activities in the region.

Targeted Raids Yield Hundreds of Cartons in Key Areas

The first raid was conducted at a warehouse behind a store in Barangay Inayawan, Cebu City, around 1:00 PM, where authorities confiscated hundreds of boxes containing various brands of cigarettes. Following this initial success, police moved to a shop within the Carbon Public Market, where additional hundreds of cartons were seized. The Bureau of Internal Revenue 7 assisted in the operations, highlighting the collaborative effort to combat tax evasion and smuggling.

According to Police Colonel George Ylanan, chief of the CCPO, the raids were initiated based on intelligence information regarding smuggled cigarettes that had not paid the required taxes. A test buy conducted prior to the operation confirmed the illicit nature of the products, providing the necessary evidence to proceed with the confiscations.

Estimated Tax Losses Reach P100 Million in Unpaid Duties

The financial impact of this smuggling scheme is substantial, with estimated tax losses amounting to approximately P100 million that should have been paid on the illegal cigarettes. This figure underscores the scale of the operation and the significant revenue loss to the government due to tax evasion practices.

Currently, an inventory is being conducted to determine the total value of all seized items, which will provide a clearer picture of the extent of the contraband network. The ongoing investigation aims to identify those responsible for the smuggling and distribution, with potential legal actions to follow.

This bust serves as a reminder of the ongoing challenges in regulating tobacco products and enforcing tax laws, particularly in urban markets where illicit trade can thrive. Authorities have emphasized their commitment to continuing such operations to curb illegal activities and protect public revenue.