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Domestic trade ministry detects 580 vehicles linked to fuel smuggling [WATCH]

KUBANG PASU: The Domestic Trade and Cost of Living Ministry has identified 580 vehicles found to fill up fuel repeatedly at different fuel stations located in towns along the Malaysia-Thailand border in Kedah.

The ministry's Kedah office director Muhammad Nizam Jamaludin said the activity was detected by officers stationed in five fuel stations in the Kubang Pasu district and one fuel station in the Baling district since Sept 25.

"A comparison of petrol and diesel sales records between Oct 1 to Oct 20, showed that the sales for diesel have dropped between seven and 24 per cent, while for RON95 petrol, sales recorded a dip of between three and 30 per cent.

"A total of 19,705 vehicles were recorded (filling up fuel at the six stations) with 19,001 being local vehicles while the remaining 704 are foreign-registered vehicles.

"Upon analysing the data, 580 vehicles were detected filling up repeatedly on the same day at different fuel stations where the officers were stationed. The information has been forwarded to the intelligence unit for further action," he told reporters after inspecting static operations at fuel stations in Kubang Pasu.

Nizam added that based on intelligence gathering, action has been taken in four cases involving the seizure of 1,300 litres of petrol valued at RM2,865; 4,200 litres of diesel valued at RM12,390; two vehicles and fuel transfer equipment.

The total value of the seizure was estimated at RM37,015.

"Based on intelligence, we have established that the bulk smuggling of diesel has significantly declined since the implementation of targeted diesel subsidies (in April).

"The activity has since shifted to small-scale smuggling either by either individuals or small groups, using local vehicles.

"Their modus-operandi is purchasing fuel in small containers with several vehicles suspected of being fitted with modified tanks. We have identified their storage location in remote villages.

"We will continue to crackdown to weed out fuel smuggling activity completely, no matter how small it is.

"That's the reason why we station our officers at the fuel stations located in border towns," he said.

Nizam said the ministry's officers will remain stationed at the fuel stations until November to establish the actual fuel quota required by each station.

He added that from January to this month, a total of 1,982 inspections have been carried out in Kedah, yielding 158 cases involving a total seizure value of RM2.95 million.

"A total of 34 individuals and companies have been charged in court, with nine of them convicted with a total fine amounting to RM213,000 while the remaining 17 cases are to be prosecuted soon," he said.

In July, the ministry's enforcement director-general Datuk Azman Adam announced that the ministry was mulling stationing enforcement officers at fuel stations located in towns along the Malaysia-Thailand border to stem subsidised RON95 petrol smuggling activities.

The ministry has also enforced the Supply Controller's Instruction on fuel station operators in the Malaysia-Thailand border states comprising Kedah, Perlis, Kelantan and Perak, prohibiting the repeated sale of diesel and RON95 petrol on the same day to vehicles, whether they are registered in Malaysia or abroad.

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