British customs anti-fraud powers' could cripple 3PLs'

BRITISH customs power to prosecute third party logistics operators who handle goods that have been illicitly diverted from a bonded supply chain with stiff penalties could cripple truckers and warehouse operators, said the UK Warehousing Association (UKWA).

In a bid to tackle alcohol fraud HM Revenue & Customs (HMRC) now can impose up to 100 per cent of duty on goods if the 3PL knowingly handled the goods, also seize goods, said the warehouse association in a statement, reported London's International Freighting Weekly.

"We are concerned that, rather than tackling real fraudsters, HMRC will take the easy option and look to other parts of the alcohol supply chain to recover lost duty," said warehouse association CEO Roger Williams,

Alan Powell, of Alan Powell Associates, the UKWA's advisor on excise duty said: "In essence, if you touch 'suspect' goods in the course of your business, you will be deemed to be 'contaminated' and liable to penalties and the full duty."

The UKWA is seeking urgent talks with customs to clarify the situation and will organise seminars to brief members on the implications of the new anti-fraud powers.
(Source:www.schednet.com)