A Thai court has fined Philip Morris for tax evasion, stating that the company under-declared the value of cigarettes imported from the Philippines, reports AP News.

The Criminal Court found Philip Morris Thailand guilty of evading taxes amounting to more than THB 20 billion (USD 662 million) between 2003 and 2006 and has ruled that the company must pay a fine of THB 1.2 billion (USD 39.7 million).
According to the Bangkok Post, Philip Morris declared a value of THB 5.88 (USD 0.19) for a packet of L&M cigarettes compared to THB 16.81 (USD 0.55) declared by other cigarette importers. The company also declared the Cost, Insurance and Freight (CIF) rate on Marlboro cigarettes at THB 7.76 (USD 0.26) per packet, whereas other importers reported a rate of THB 27.46 (USD 0.9).
Seven employees were acquitted due to lack of evidence surrounding their involvement in the scandal. Philip Morris Thailand said it would appeal the ruling, reports AP News.