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Batangas Court Convicts Two for Counterfeit Cigarettes in Escalating Philippines Anti-Illicit Trade Drive

Batangas Court Convicts Two for Counterfeit Cigarettes in Escalating Philippines Anti-Illicit Trade Drive

Two Men Convicted in Batangas for Counterfeit Cigarettes

A Batangas court recently handed down convictions to two men for selling and distributing counterfeit cigarettes, signaling a continued push by Philippine authorities to curtail illicit tobacco trade. The Regional Trial Court of Lipa City ruled in September 2025 that Gilmor Catapang and Jovert Delos Santos violated key provisions of the Intellectual Property Code by infringing trademarks and engaging in unfair competition.

What the Case Involved

The four consolidated criminal cases stemmed from activities in Barangay Poblacion, Padre Garcia, Batangas, on September 11, 2023. Court records indicate that the defendants offered counterfeit cigarette products that closely mimicked legitimate brands, designed to mislead consumers into believing they were purchasing genuine items.

Authorities seized the counterfeit goods with an estimated value exceeding PHP 800,000. The seizure underscores the real-world impact of illicit tobacco trade on consumer safety and on government revenue through lost excise taxes.

Legal Violations and Sentences

Catapang and Delos Santos were found guilty under two provisions of the Intellectual Property Code: Section 155.1 (Trademark Infringement) and Section 168.3 (Unfair Competition). The court sentenced each defendant to two years of imprisonment per case and imposed fines of PHP 50,000 per case, totaling PHP 200,000 in penalties for both men. In addition, the court ordered the destruction of the confiscated counterfeit cigarettes by October 2025.

Broader Context: Philippines’ Fight Against Counterfeit Tobacco

The Batangas conviction is part of a nationwide crackdown on counterfeit cigarettes and tax evasion in tobacco sales. In May 2025, police in Malabon City arrested a suspected trader linked to illicit cigarette products valued at around PHP 2 million. A subsequent conviction in July 2025 involved another individual found guilty of distributing fake cigarette brands worth approximately PHP 1.4 million.

Across the country, large-scale operations have exposed the scale of the problem. In Bulacan and Valenzuela, raids in late 2024 uncovered factories and warehouses producing counterfeit cigarettes with an estimated tax liability of PHP 8.5 billion. In Cebu, October 2024 operations yielded counterfeit internal revenue stamps, machinery, and more than 44,000 packs of counterfeit cigarettes, with a tax liability of PHP 107.7 million.

In Negros Occidental, authorities arrested five traders in July 2025 for allegedly selling counterfeit cigarette products valued at PHP 4.7 million. Law enforcement agencies, including the Bureau of Internal Revenue (BIR) and the Philippine National Police (PNP), say the illicit tobacco trade not only harms consumers through unregulated products but also deprives the government of billions in excise taxes that fund essential public programs.

Why This Matters: Public Health and Government Revenue

Counterfeit cigarettes pose significant health risks because they bypass standard regulatory checks on ingredients and manufacturing processes. In addition, the illegal trade undermines legitimate businesses and drains state resources that finance healthcare, education, and infrastructure. By targeting both sellers and distributors, authorities aim to disrupt supply chains and deter future violations.

Ongoing Efforts and What Comes Next

Officials stress that the hunt for counterfeit tobacco products will continue, with enhanced collaboration between the BIR, PNP, and other agencies. The Batangas case demonstrates that even smaller-scale operations are pursued with serious penalties, serving as a warning to would-be counterfeiters. Destruction orders for counterfeit goods are part of a broader strategy to prevent reintroduction or resale of tainted products.

Conclusion

The Batangas conviction against Gilmor Catapang and Jovert Delos Santos reflects a broader commitment to enforcing intellectual property laws and protecting public health in the Philippines. As authorities expand raids and tighten controls on tobacco distribution, consumers can expect ongoing scrutiny of both retail and distribution networks to curb the illicit cigarette trade and safeguard government revenue.