Tiffany & Co. Store Remains Under Customs Watch Despite Reopening
Jakarta. Tiffany & Co.'s store at Plaza Indonesia in Central Jakarta remained boarded up and under the watch of customs officers on Monday, even after Finance Minister Purbaya Yudhi Sadewa said the outlet had been allowed to reopen following the removal of a customs seal.
A visit to the site showed the storefront still covered by wooden panels, while several officers from the Directorate General of Customs and Excise (DJBC) continued monitoring the area after Purbaya left the location.
Purbaya earlier confirmed that he had visited the Tiffany & Co. outlet to oversee the process of lifting the seal imposed by customs authorities. "The store can resume operations," Purbaya said.
However, customs personnel were still visibly stationed around the premises as of Monday afternoon.
The case emerged after the Directorate General of Customs and Excise issued a Rp 97.49 billion bill ($5.39 million) to Tiffany & Co. following the completion of an audit into alleged import violations.
Customs Director General Djaka Budi Utama previously said the audit had been finalized and that authorities were awaiting payment of the company's outstanding obligations.
Of the total amount, Rp 78.5 billion consists of administrative penalties. The remainder covers import duties, import value-added tax (VAT), and Article 22 import income tax.
The bill stems from alleged discrepancies in import declarations involving high-value goods brought into Indonesia.
Customs authorities had earlier sealed three Tiffany & Co. stores in Jakarta -- Plaza Senayan, Plaza Indonesia, and Pacific Place -- as part of an investigation into luxury items that were allegedly not fully declared in import documentation.
Purbaya said the government was examining not only administrative violations but also indications that goods may have entered Indonesia without fully meeting customs obligations.
Authorities are also investigating suspected under-invoicing practices, in which imported goods are declared at values lower than their actual worth to reduce tax and duty liabilities.
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