Mandaue City councilor seeks crackdown on fake cigarettes, other goods

MANDAUE CITY, Cebu — A proposed ordinance seeking to crack down on illicit, counterfeit, pirated, non-compliant and fake cigarettes and other goods was approved on first reading by the Mandaue City Council.

Councilor Carlo Fortuna proposed the measure, prompted by the recent seizures of fake cigarettes and counterfeit products in Mandaue City.

The proposed “Comprehensive Anti-Illicit Trade and Counterfeit Goods Ordinance” seeks to regulate the physical and online sale, manufacture, distribution, storage, transport, and commercial possession of prohibited goods within Mandaue.

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Fake cigarettes confiscated

“Recently, there were BIR (Bureau of Internal Revenue) operations where fake cigarettes were confiscated. There were also cases involving fake Magic Sarap products. This ordinance is intended to cover any form of illegal or fake commodity or item that is sold, possessed, or stored in Mandaue City,” Fortuna said.

He said the proposal also aims to stop the sale of products that evade taxes and government regulation.

Under the ordinance, businesses would be prohibited from selling, manufacturing, distributing, transferring, or commercially possessing counterfeit goods. This applies to both physical stores and online platforms.

Businesses that allow such activities within their premises or digital platforms may also be held liable.

Fines and penalties

Violations would carry escalating sanctions, including suspension of business permits for first and second offenses. A third offense would trigger permanent revocation, closure of establishments, and blocklisting from operating local online businesses.

The proposal also authorizes the confiscation of prohibited goods, including equipment used in their production or distribution. The crackdown would also cover shipments found in transit through Mandaue City.

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Authorities may also order the removal of online listings and illegally hosted digital files.

If approved, the ordinance would authorize them to conduct inspections and cyber-audits. These would need to be in coordination with national law enforcement and regulatory agencies.

Violators may face imprisonment of up to one year or a fine of ₱5,000 for every violation or each day of continued illegal operation. The court may also impose both penalties.

From wholesalers to retailers covered

The draft contains separate penalties for illicit tobacco and vapor products. These include 30 days’ imprisonment and a ₱1,000 fine for every pack, bottle, device, or unit found in violation of national requirements.

Fortuna said that the ordinance would apply to anyone involved in the sale of counterfeit products, whether wholesalers, distributors, retailers, or even sari-sari store. owners.

“If authorities find you selling fake products without permits, licenses, or taxes, they can arrest, penalize, and charge you,” he said.

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He added that violators may also face charges under national laws. Businesses risk cancellation or non-renewal of their permits.

The proposal likewise requires courier and logistics companies to verify commercial senders, report suspicious shipments, and cooperate with authorities. It seeks to exempt delivery riders who have no knowledge of the illegal contents of parcels.

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