SHAH ALAM: The tactic of using fake vehicle registration plates while carrying out diesel smuggling was detected by the Ministry of Domestic Trade and Consumer Affairs (KPDN) in an operation recently.
Its director-general Datuk Azman Adam said initial information showed that the modus operandi of the syndicate was to deceive the authorities by using fake car registration plates while carrying out the smuggling activity.
He said the syndicate used illegal warehouses as a place to store and transfer subsidised diesel before selling it in the black market.
"KPDN successfully busted the subsidised diesel smuggling syndicate through Ops Tiris 3.0 in a raid conducted at an unnamed premise on Jalan Johan Setia, Klang.
"The raid was carried out on April 16 at about 3pm following public complaints and surveillance," he said.
Azman said, upon further inspection of the entire premise, the raiding team found diesel with an estimated quantity of 9,000 liters and several other equipment used for diesel smuggling activities at the location.
"A lorry, several intermediate bulk container (IBC) tanks, and skid tanks containing diesel, fuel pumps, some related documents and other equipment found at the location were also seized for further investigation. The total value of the seizure is estimated at RM88,300. Two local men, aged 67 and 48, who were at the premises during the raid were also detained to assist in the investigation.
"Investigation papers have been opened under the Control of Supplies Act 1961 [Act 122] to identify individuals/companies involved in this activity and the distribution chain of the diesel, including how this diesel source was obtained and distributed," he said.
Azman also warned any individuals/companies involved to not misuse the subsidised diesel and to always comply with the laws.
"Any individual who commits an offense can be prosecuted under the Control of Supplies Act 1961 [Act 122] and if convicted can be fined not more than RM1 million for the first offense and for subsequent offenses not exceeding RM3 million for individuals or imprisonment not exceeding three years or both.
"As for companies, if convicted, they can be fined not exceeding RM2 million for the first offense and for subsequent offenses not exceeding RM5 million," he said.
He added that the company will also be investigated under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLATFPUAA 2001) [Act 613].
"If convicted under Act 613, they can be imprisoned for a term not exceeding 15 years.
"They can also be fined not less than five times the amount or value of proceeds from the unlawful activity or the equipment of the offense at the time the offense was committed or RM5 million, whichever is higher," he said.