Penang KPDN Seizes 24,000 Litres Of Suspected Diverted Diesel
NIBONG TEBAL, April 29 (Bernama) -- The Penang Ministry of Domestic Trade and Cost of Living (KPDN) seized 24,000 litres of diesel suspected to have been diverted, along with two lorries and other equipment worth an estimated RM400,000, in a raid on a licensed storage facility in Simpang Ampat today.
Its director S. Jegan said the department had carried out intelligence gathering and surveillance for two weeks before raiding the premises, where diesel transfer activities believed intended for sale to the industrial sector were uncovered.
He said checks found the owner held a valid licence to store diesel and petrol until 2028, although the syndicate was believed to have been operating there for several months.
Diesel was being transferred from an 18-tonne goods lorry whose original tank had been modified to hold 1,000 litres at a time.
"We detained the lorry driver, a 45-year-old local man. Investigations found he obtained diesel supplies from several petrol stations around the state before transporting them to the premises to be transferred into storage tanks," he told reporters after the raid here today.
Jegan said investigations showed the stored diesel was then believed to be loaded into tanker lorries before being delivered to industrial buyers at prices lower than market rates.
During the raid, KPDN seized a skid tank, the modified 18-tonne lorry, a tanker lorry with a capacity of 21,400 litres, a pump set with hoses and several related business documents.
"We have summoned the company owner to provide an explanation and submit documents related to the diesel transactions, but as of 5 pm no one had turned up. We therefore believe the fuel transfer activities there were intended for illegal diversion for quick profits," he said.
The case is being investigated under Regulation 3(1) and Regulation 11 of the Control of Supplies Regulations 1974 under the Control of Supplies Act 1961.
Jegan said investigations were continuing to identify other individuals or companies involved in the diesel distribution network, including supply sources and recipients of the fuel.
-- BERNAMA
