Customs Fraud Allegations Against Foreign Companies in Turkey: 2026 Criminal Defense Guide

Foreign company accused of customs fraud in Turkey? Learn how customs value, tariff classification, origin, false invoices, undeclared goods, customs brokers, seizures and individual manager liability are investigated and how foreign companies can build a criminal defense in 2026.

A customs investigation against a foreign-owned company in Turkey can move quickly from an administrative dispute to a criminal investigation. Authorities may allege that the importer deliberately undervalued goods, used false invoices, declared an incorrect tariff classification, concealed the true origin of products, imported undeclared goods, submitted misleading documents or used deceptive customs procedures to avoid duties or restrictions.

For foreign companies, the expression “customs fraud” should be approached carefully. It is not enough to identify an incorrect customs declaration and assume that a criminal offence has occurred. The precise alleged conduct must be matched to the applicable provisions of Turkish customs legislation and, where relevant, Law No. 5607 on Combating Smuggling.

Law No. 5607 contains multiple forms of smuggling offences rather than a single generic offence covering every customs error. Official Ministry of Justice material likewise describes the statute as regulating numerous smuggling offences according to the way the conduct is committed.

For a foreign company, the defense should therefore begin with five questions:

What was declared? What actually occurred? Who prepared the information? Was the discrepancy deliberate? Who personally participated in the alleged conduct?

What Can Trigger a Customs Fraud Investigation in Turkey?

Common allegations include:

• Customs value intentionally understated
• False commercial invoices
• Double invoicing
• Incorrect tariff classification
• False country of origin
• Manipulated certificates of origin
• Undeclared goods
• Excess goods in a container
• Goods different from those declared
• Misleading product descriptions
• False preferential-origin claims
• Missing import licences
• Circumvention of trade-defense measures
• Incorrect use of customs procedures
• False warehouse records
• Manipulated transit documentation
• Related-party pricing arrangements
• Concealed royalties or licence payments

The criminal significance of each allegation depends on the exact facts and statutory provision.

A Customs Error Is Not Automatically Criminal Fraud

This distinction is fundamental.

Companies can make mistakes involving tariff classification, customs value, origin documentation, quantities or regulatory requirements without necessarily committing a criminal offence.

A criminal investigation should therefore distinguish between:

Administrative customs violation

and

Conduct satisfying the elements of an offence under Law No. 5607 or another criminal statute.

The company’s defense should not allow these concepts to become interchangeable.

Identify the Exact Allegation First

Before preparing a defense, obtain and review the available customs and investigation records.

Determine:

1. Which shipment is disputed?
2. Which declaration is challenged?
3. Which information is allegedly false?
4. What financial advantage is alleged?
5. Which individual allegedly supplied the information?
6. Which provision of Law No. 5607 is invoked?
7. Have goods been seized?
8. Is the company itself affected, or are individual managers suspects?

A defense based only on the statement “we did nothing wrong” is rarely sufficient.

Reconstruct the Entire Import Transaction

The strongest defense often reconstructs the commercial transaction from beginning to end:

Purchase order → Supplier → Contract → Invoice → Payment → Packing → Shipment → Transport → Customs broker → Declaration → Customs inspection → Warehouse → Resale or production.

Every step should be supported by contemporaneous evidence.

This approach can reveal whether the discrepancy originated with the importer, foreign supplier, logistics provider, customs broker or another participant.

Customs Value Fraud Allegations

Customs authorities may allege that the company deliberately declared a value lower than the actual transaction value.

For example:

Actual purchase price: €800,000

Declared customs value: €500,000

The €300,000 difference requires explanation.

But the existence of a difference alone does not answer why it occurred.

Possible issues can include:

• Separate freight payments
• Insurance
• Advance payments
• Previous transactions
• Rebates
• Credit notes
• Royalties
• Group-company adjustments
• Currency differences
• Genuine documentation errors

The defense should reconstruct the financial relationship rather than analyze one invoice in isolation.

Follow the Bank Payments

Banking evidence can be decisive.

Compare:

Invoice → Customs declaration → Bank payment → Supplier ledger.

If authorities allege that an invoice was artificially reduced, investigate whether another payment was made to:

• Supplier
• Related company
• Shareholder
• Consultant
• Intermediary
• Offshore entity

However, an additional payment does not automatically establish concealed purchase consideration.

Its commercial purpose must be identified.

Double-Invoice Allegations

A particularly serious situation arises where investigators discover two invoices for apparently identical goods.

Example:

Invoice submitted to customs: €250,000

Invoice discovered in company records: €600,000

Do not immediately create an explanation.

Determine whether one document was:

• Pro forma invoice
• Preliminary quotation
• Revised invoice
• Credit-adjusted invoice
• Invoice for different goods
• Consolidated invoice
• Final commercial invoice

Then compare both documents with actual payment records.

False Invoice Allegations

Authorities may allege that the company knowingly used a fabricated invoice.

The defense should investigate:

Who created the invoice?

Who received it?

Who submitted it to customs?

Was the transaction genuine?

Were the goods actually purchased?

What amount was actually paid?

Foreign management should not automatically be treated as personally responsible merely because the company used the document.

Supplier Fraud Can Become an Importer’s Criminal Problem

A foreign supplier may send:

• False invoice
• Incorrect origin certificate
• Misleading packing list
• Incorrect product description
• Wrong quantity
• Incorrect tariff information

The Turkish importer may initially be unaware.

Preserve evidence showing what the supplier represented before shipment.

Relevant evidence includes:

• Emails
• Purchase orders
• Supplier declarations
• Product catalogues
• Specifications
• Certificates
• Payment records
• Video or photographs of loading where available

Incorrect Tariff Classification

Tariff disputes are common because classification can depend on technical characteristics, composition, function and use.

The Ministry of Trade continues to publish tariff-classification guidance in 2026, including guidance specifically addressing frequently made tariff mistakes and tariff determination.

This is important because an incorrect tariff code should not automatically be described as deliberate criminal conduct.

Preserve:

• Technical specifications
• Product manuals
• Laboratory analysis
• Supplier classifications
• Previous declarations
• Customs opinions
• Classification research performed before importation

Who Selected the Tariff Code?

Determine whether the classification was selected by:

• Foreign supplier
• Turkish importer
• Customs department
• Customs broker
• External consultant

Then identify what technical information was available to that person.

If the customs broker was given complete and accurate specifications but independently selected the disputed classification, that can be materially different from a situation where the importer deliberately supplied a false product description.

Customs Broker Responsibility

Foreign companies commonly rely heavily on Turkish customs brokers.

But saying:

“The broker handled everything.”

is not a complete defense.

Reconstruct the communication chain:

Company → Broker → Draft declaration → Company review → Final declaration.

Determine whether the company:

• Supplied correct information
• Supplied incomplete information
• Approved the declaration
• Corrected mistakes
• Ignored warnings
• Instructed the broker to use a particular classification or value

Customs Broker Error Does Not Automatically Establish Company Guilt

The reverse is equally important.

If a broker independently made an error, criminal responsibility should not automatically be transferred to the foreign company or its managers.

Individual conduct must be established.

Country-of-Origin Fraud Allegations

Origin becomes particularly important where it affects:

• Preferential customs treatment
• Additional customs duties
• Anti-dumping measures
• Safeguards
• Quotas
• Import restrictions

The Ministry of Trade’s consolidated 2026 additional customs-duty framework continues to distinguish treatment according to origin and the documentation of preferential origin.

Where origin is disputed, reconstruct the production chain rather than relying solely on the certificate presented at customs.

Supplier Says “Made in Country A”

That statement is evidence, but not necessarily the end of the inquiry.

Investigators may examine:

• Manufacturing location
• Raw materials
• Production stages
• Factory records
• Supplier chain
• Shipping route
• Certificates
• Invoice history

The defense should determine what the importer reasonably knew at the relevant time.

Anti-Dumping Circumvention Allegations

Foreign exporters and importers can face particularly serious scrutiny where authorities believe goods from a country subject to anti-dumping measures were routed through another country.

Evidence may include:

• Manufacturing records
• Factory capacity
• Certificates of origin
• Transport routes
• Supplier ownership
• Payments
• Bills of lading
• Production invoices

A transit route alone does not necessarily establish false origin.

Undeclared Goods

Suppose a container declaration lists:

10,000 units

but inspection finds:

11,500 units.

Investigators will want to know why.

Possible explanations may include:

• Supplier loading mistake
• Packing error
• Free samples
• Replacement products
• Consolidation mistake

The company should preserve the original loading and shipping evidence.

Goods Different From the Declaration

Another investigation may involve goods materially different from those described in the customs declaration.

The defense should compare:

Goods ordered → Goods invoiced → Goods packed → Goods loaded → Goods declared → Goods physically discovered.

This sequence can identify where the discrepancy first appeared.

Hidden Goods Create Greater Risk

Where goods are physically concealed within another shipment, the circumstances can support a materially different inference than an ordinary documentation error.

Investigators may examine:

• Container loading
• Packaging
• False compartments
• Driver knowledge
• Warehouse preparation
• Supplier instructions
• Transport route

Foreign management should establish who actually controlled these stages.

Restricted or Prohibited Imports

Some customs investigations involve products requiring specific licences or authorizations.

Determine whether the issue concerns:

Complete prohibition

or

Import permitted subject to authorization.

This distinction can be critical.

The regulatory classification of the product should be verified before any criminal conclusion is accepted.

Product Safety Problems Are Not Automatically Customs Fraud

Goods may be detained because of:

• Technical standards
• Product-safety requirements
• Labelling
• Conformity documentation
• Testing
• Certification

A regulatory non-compliance problem should not automatically be converted into a criminal-smuggling allegation without examining the applicable statutory elements.

Related-Party Imports

Multinational companies often import from parent or sister companies.

Related-party pricing may therefore attract customs scrutiny.

Preserve:

• Intercompany agreements
• Transfer-pricing documentation
• Price lists
• Comparable sales
• Royalty agreements
• Distribution agreements
• Accounting records
• Payment history

Corporate affiliation does not itself prove customs fraud.

Royalties and Licence Fees

Customs authorities may question whether separate payments should have been reflected in customs valuation.

Relevant documents can include:

• Trademark licence
• Technology licence
• Patent agreement
• Franchise agreement
• Distribution agreement
• Royalty calculation

Do not conceal the agreements.

The correct strategy is to determine their customs treatment and whether the original declaration involved a legal disagreement, factual error or alleged deliberate deception.

Foreign Company Versus Individual Criminal Responsibility

A customs investigation involving a corporation does not mean every director or shareholder becomes personally criminally liable.

Investigators should determine:

Who ordered the goods?

Who negotiated the price?

Who knew the true origin?

Who received the invoice?

Who instructed the customs broker?

Who approved the declaration?

Who knew of the alleged discrepancy?

This is particularly important in multinational groups where responsibility is divided across countries.

Foreign CEO Is Not Automatically Responsible

A foreign CEO may supervise hundreds of transactions without personally reviewing individual customs declarations.

Relevant evidence may include:

• Organization chart
• Job descriptions
• Delegation
• Approval limits
• Customs procedures
• Internal emails
• Signature authorities

Corporate title should not replace evidence of actual conduct.

Passive Foreign Shareholder

Likewise, ownership of shares does not establish involvement in customs operations.

A foreign investor should document whether they had any role in:

• Procurement
• Customs
• Logistics
• Finance
• Supplier selection
• Product classification

Company Acquired After the Disputed Imports

This issue frequently arises during acquisitions.

Suppose:

Disputed imports: 2024–2025

Foreign acquisition: 2026

The new foreign shareholder’s ownership does not establish personal participation in historical conduct.

Preserve:

• Share purchase agreement
• Closing date
• Historical management records
• Due-diligence materials
• Board appointments

The chronology should be clear.

Individual Responsibility Must Be Transaction-Specific

For each disputed import, create a responsibility matrix:

Issue	Person Responsible	Evidence
Supplier selection	Procurement Manager	Emails
Product specification	Technical Manager	Product file
Invoice receipt	Finance	Email
Customs classification	Customs Broker	Declaration file
Payment	Finance Director	Bank records
Final approval	Import Manager	ERP approval

This is far more useful than saying:

“Management was responsible.”

Seizure of Goods

Customs-fraud investigations can result in seizure of the disputed goods.

Seizure should not be confused with final confiscation.

The company should immediately identify:

• Legal basis
• Goods seized
• Quantity
• Storage location
• Investigation number
• Prosecutor
• Whether sampling occurred
• Whether liquidation is possible

Continued seizure and ultimate confiscation are separate legal questions.

Preserve the Seizure Inventory

Check:

• Product description
• Quantity
• Weight
• Serial numbers
• Container
• Packaging
• Estimated value

Incorrect seizure records should be identified promptly.

Company Computers and Records May Also Be Examined

Investigators may seek evidence concerning:

• Customs files
• Invoices
• ERP systems
• Emails
• Accounting
• Supplier communications
• Payment records
• Product specifications

Do not delete, reset or remotely alter relevant data after learning about an investigation.

Digital Evidence Can Prove Innocence

Digital records may establish that:

• Supplier provided the false information.
• Employee questioned the classification.
• Broker recommended the disputed code.
• Management requested correction.
• Foreign director never received the relevant documents.

Preserve complete communications rather than isolated screenshots.

Do Not Backdate Documents

Never create a retrospective:

• Purchase agreement
• Supplier declaration
• Board resolution
• Invoice
• Packing list
• Origin statement

and present it as contemporaneous evidence.

A defensible customs dispute can become significantly more serious if evidence is fabricated.

Foreign-Language Evidence

Preserve original foreign-language communications.

If a foreign manager is accused of knowingly approving a misleading document, the exact language they received can become important.

Do not retain only a translated summary.

Search and Seizure of Company Premises

Where a criminal investigation develops, company premises and records may become subject to criminal-procedure measures if the statutory requirements are met.

The company should document:

• Authority conducting the search
• Investigation number
• Legal authorization
• Areas searched
• Devices taken
• Documents taken
• Start and end time
• Inventory provided

Do not physically obstruct a lawful search.

Statements by Employees and Managers

Before a foreign executive gives a statement, identify the exact allegation.

The manager should understand:

• Shipment involved
• Date
• Declaration
• Supplier
• Alleged discrepancy
• Their actual role
• Evidence attributed to them

Guessing can create unnecessary contradictions.

Interpreter Assistance

Foreign managers who cannot sufficiently understand the language of criminal proceedings should ensure that procedural interpretation rights are properly addressed.

A technical customs investigation contains terminology involving valuation, tariff classification, origin and shipping documents. Misunderstanding one question can materially affect a statement.

Customs Assessment Does Not Automatically Prove Criminal Guilt

Authorities may determine additional customs duties are payable.

That does not by itself answer whether a particular individual committed a criminal offence.

Keep separate:

Customs debt

Administrative penalty

Criminal accusation

Personal criminal responsibility

Criminal Case and Customs Dispute Can Proceed in Parallel

A company may need simultaneously to:

• Defend criminal allegations
• Challenge customs assessments
• Challenge administrative penalties
• Seek release of goods
• Manage commercial claims

Do not allow the criminal investigation to cause ordinary customs deadlines to be overlooked.

Effective Remorse Under Law No. 5607

Law No. 5607 contains specific effective-remorse provisions. Current Ministry of Justice material explains that Article 5 provides mechanisms that can produce non-punishment or sentence reductions depending on the particular statutory route and conditions.

For certain offences, legislation also provides a sentence-reduction mechanism tied to payment of twice the customs value of the goods, with different reductions depending on whether payment occurs before the end of the investigation or during prosecution before judgment. Exceptions apply, including circumstances identified in the statute.

This is a strategic decision.

A foreign company or manager should not make admissions or payments merely because someone says:

“Pay and the criminal case disappears.”

The precise alleged offence, eligibility and consequences should be analyzed first.

Payment Does Not Necessarily Mean the Case Disappears

Depending on the applicable effective-remorse mechanism, payment may produce a sentence reduction rather than automatic termination of proceedings.

The distinction is important.

Never assume:

Payment = acquittal.

Goods of Low Value

Law No. 5607 also contains provisions allowing reductions in certain circumstances based on the value of the goods. Ministry of Justice materials reflect statutory reductions where the value is considered low or very low under the applicable provision.

Whether those provisions apply depends on the exact offence and facts.

2026 Enforcement Environment

Customs enforcement remains active in 2026. The Ministry of Trade’s Customs Enforcement Directorate maintains dedicated 2026 anti-smuggling seizure data and publishes ongoing enforcement operations.

For foreign companies, the practical consequence is straightforward: customs compliance should be documented before a problem occurs. A company should be able to demonstrate how value, classification, origin and quantity were determined rather than trying to reconstruct everything after goods are seized.

Internal Investigation After a Customs Fraud Allegation

A foreign parent company should consider an immediate internal investigation where irregularities may have originated within a Turkish subsidiary.

The investigation should answer:

1. Which shipments are affected?
2. How far back does the conduct extend?
3. Which employees were involved?
4. Which brokers were involved?
5. Which suppliers were involved?
6. Who selected tariff classifications?
7. Who approved invoices?
8. Were side payments made?
9. Were origin documents manipulated?
10. Did anyone receive personal benefits?

Preserve evidence before confronting suspected employees.

Do Not Assume One Problem Is Isolated

If one false invoice is discovered, consider whether similar transactions exist.

Review:

• Same supplier
• Same broker
• Same employee
• Same product
• Same tariff code
• Same origin
• Same payment method

But do not automatically treat every historical shipment as fraudulent.

Each transaction should be examined separately.

Build a Shipment-by-Shipment Defense Table

Shipment	Allegation	Company’s Explanation	Evidence
A	Undervaluation	Credit adjustment	Contract + bank
B	Wrong tariff	Technical classification dispute	Specification
C	False origin	Supplier certificate relied upon	Supplier records
D	Excess quantity	Loading error	Packing evidence

This structure makes a large customs investigation manageable.

Evidence That Can Strengthen a Foreign Company’s Defense

The most useful evidence often includes:

• Purchase agreements
• Purchase orders
• Commercial invoices
• Bank transfers
• Supplier accounting
• Packing lists
• Bills of lading
• Air waybills
• Certificates of origin
• Technical specifications
• Customs declarations
• Broker correspondence
• Warehouse records
• Inventory records
• ERP logs
• Emails
• Internal approvals
• Compliance policies

No single document should be considered in isolation.

Compliance Program as Evidence

A functioning customs-compliance system can also help establish how the company operated.

Relevant materials may include:

• Customs policy
• Approval matrix
• Broker instructions
• Classification procedures
• Supplier due diligence
• Origin verification
• Training records
• Internal audit

A written policy alone does not prove compliance.

The important question is whether the policy was actually implemented.

Foreign Parent Company Investigation

If a Turkish subsidiary is implicated, the foreign parent should preserve independence of the investigation.

Consider:

• Who should lead it?
• Is local management implicated?
• Should access be restricted?
• Which servers contain evidence?
• Are cross-border data issues involved?
• Does the parent need separate counsel?

Do not allow suspected personnel to control evidence preservation.

Commercial Claims Against the Supplier

Where the problem originated from supplier misconduct, the importer may have separate claims for:

• Incorrect goods
• False documentation
• False origin certificate
• Undisclosed goods
• Incorrect value documentation
• Regulatory non-compliance

Review warranties and indemnities immediately.

Customs Broker Claims

Professional or contractual liability may also arise where the customs broker failed to follow instructions or independently submitted inaccurate information.

Preserve the complete broker file before making allegations.

30 Immediate Steps After a Customs Fraud Investigation Begins

1. Identify the exact alleged offence.
2. Obtain customs investigation records.
3. Identify every disputed shipment.
4. Preserve customs declarations.
5. Preserve invoices.
6. Preserve purchase orders.
7. Preserve contracts.
8. Preserve bank records.
9. Preserve transport documents.
10. Preserve packing lists.
11. Preserve origin certificates.
12. Preserve technical specifications.
13. Preserve customs-broker communications.
14. Preserve supplier communications.
15. Identify who selected tariff classifications.
16. Identify who determined customs value.
17. Identify who provided origin information.
18. Identify who approved declarations.
19. Trace additional payments.
20. Preserve company emails.
21. Preserve ERP and accounting records.
22. Do not delete digital evidence.
23. Do not fabricate retrospective documents.
24. Determine whether goods have been seized.
25. Review customs objection deadlines.
26. Determine each manager’s actual role.
27. Build a shipment-by-shipment chronology.
28. Assess effective-remorse provisions carefully.
29. Evaluate supplier and broker claims.
30. Coordinate criminal, customs and commercial defense strategies.

Frequently Asked Questions

1. Is every customs declaration error a criminal offence in Turkey?

No. The legal consequences depend on the nature of the error and the applicable legislation. Law No. 5607 regulates multiple specific smuggling offences rather than converting every customs mistake into a criminal offence.

2. Can a foreign company manager be personally prosecuted?

Potentially, where evidence connects that individual to the alleged offence. Management title, foreign nationality or share ownership alone does not establish what the person actually did.

3. Can incorrect tariff classification result in criminal allegations?

Potentially, depending on the facts, but a classification disagreement should not automatically be equated with intentional customs fraud. The Ministry of Trade continues to publish tariff-classification and common-error guidance in 2026.

4. What if the customs broker made the mistake?

The investigation should determine what information the company supplied, what the broker did and whether company personnel knew about or instructed the disputed declaration.

5. What if the foreign supplier issued a false invoice?

Preserve the original purchase order, supplier communications, payment records and evidence showing what the importer knew when the customs declaration was made.

6. Can customs authorities seize the imported goods?

Goods connected with a criminal customs investigation may be subject to seizure where the applicable legal requirements are satisfied. Seizure, however, should be distinguished from final confiscation.

7. Does paying additional customs duty end the criminal case?

Not automatically. Customs debt, administrative penalties and criminal liability are distinct. Law No. 5607 contains specific effective-remorse mechanisms, and their consequences depend on the statutory conditions.

8. Can a foreign shareholder be liable for customs violations committed before acquiring the company?

Later ownership alone does not establish personal criminal participation in earlier transactions. The dates of the imports, acquisition and management involvement should be reconstructed carefully.

9. What evidence is most important in a customs fraud defense?

The strongest defense usually reconstructs the complete commercial chain: order, contract, invoice, payment, shipment, origin, classification, customs declaration and actual goods, together with evidence showing who was responsible for each step.

10. What should a foreign company do first after learning about the investigation?

Preserve the entire customs and commercial file, identify the exact criminal allegation, determine which shipments and individuals are involved, protect digital evidence and coordinate the criminal defense with customs-law remedies before making unnecessary admissions.

Legal Assistance for Foreign Companies Facing Customs Fraud Allegations in Turkey

Customs fraud allegations can expose a foreign-owned company to seized goods, interrupted imports, additional customs liabilities, administrative penalties and criminal investigations involving managers, employees, suppliers and customs brokers.

Fırat Fesih Kaya Law Office provides legal assistance to foreign companies, multinational groups, importers, exporters, foreign shareholders and executives facing customs and criminal investigations in Turkey.

Lawyer Fırat Fesih Kaya assists foreign clients with customs fraud allegations, smuggling investigations under Law No. 5607, false invoice allegations, customs valuation disputes, tariff-classification investigations, origin disputes, seized goods, customs-broker issues, criminal defense, internal investigations and evidence preservation.

Early legal intervention can be particularly important where goods have already been seized, managers are being summoned for statements, multiple historical shipments are being examined or the company needs to pursue customs objections while simultaneously defending a criminal investigation.

Phone: +90 312 434 22 22
Mobile: +90 532 769 22 22
Email: info@firatfesihkaya.av.tr
Address: Mevlana Boulevard No:221, Yıldırım Tower No:148, 06520 Balgat, Çankaya, Ankara, Turkey

This publication is provided for general informational purposes and does not constitute legal advice. Customs fraud and smuggling investigations depend on the precise shipment, alleged conduct, applicable subsection of Law No. 5607, customs legislation, individual responsibility and evidence available in the particular case.