10 detained in Johor petrol smuggling operation; more than $1.6 million worth of items seized

Malaysia's Ministry of Domestic Trade and Cost of Living (KPDN) has detained 10 people and seized over RM4.9 million (S$1.6 million) worth of items during a petrol misappropriation operation. 

KPDN enforcement director Azman Adam said an enforcement team intercepted a tanker lorry transferring controlled items to a berthed tanker ship on Wednesday (March 11), reported news agency Bernama.

Preliminary checks revealed that several tanks on the ship contained suspected petrol, with further investigation uncovering 929,124 litres of fuel worth an estimated RM2.6 million, stored across four tanks.

Nine foreigners and one Malaysian were detained and are assisting the authorities with the investigation, said Azman.

The tanker ship, tanker lorry, petrol and several items believed to have been used in the transfer — including rubber hoses and documents — were also seized, reported Bernama. 

The total value of all seized items is estimated at RM4,902,952.

The case is being investigated under the Control of Supplies Act. 

Minister of Domestic Trade and Cost of Living Armizan Mohd Ali last week said the country's borders will be tightened to curb fuel smuggling, following a rise in global oil prices due to tensions in the Middle East. 

He added that his ministry would intensify enforcement operations to ensure fuel supplies are not smuggled to neighbouring countries.

"Global oil prices have risen significantly. The risk of smuggling will remain as industrial prices will increase in line with market prices," said the minister at a press conference. 

"When compared with fuel prices in neighbouring countries that do not have subsidies, there is a fairly high tendency for smuggling to occur. That is why we will strengthen our enforcement."

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xingying.koh@asiaone.com