Diesel Smuggling Syndicate in Sibu Busted, 1.6mil Litres of Diesel Seized

The Malaysian Anti-Corruption Commission (MACC) has busted a diesel smuggling syndicate in Sibu.

MACC chief Tan Sri Azam Baki said the syndicate was suspected of misappropriating diesel intended for a fishermen’s association and bribing enforcement officers to look the other way. 

He said a joint operation was conducted on an oil storage depot in Sungai Bidut by the Special Operations Division and the MACC Special Tactical Squad, along with officers from the Domestic Trade and Cost of Living Ministry. 

Five individuals – three men and two women aged between 30 and 60 – were arrested by MACC at their Sibu branch office.

“Those arrested included four petrol station operators, believed to be the masterminds behind the diesel smuggling activities, as well as a middleman suspected of being involved in transactions with foreign buyers,” Azam said. 

The raid also led to the seizure of RM3.7 million, two barges, and 30 tanks containing 1.6 million litres of diesel.

An enforcement assistant in Kuching was also arrested on suspicion of receiving bribes from diesel smugglers operating in Sibu, Sarawak.

An MACC source said the man, in his 40s, has been remanded for six days till Sept 2 after being arrested at the Sarawak MACC office at 3.25pm yesterday when he showed up to give his statement.

The diesel smuggling syndicate is said to have profited up to RM400 million by selling subsidised diesel intended for fishermen.

“The syndicate is believed to have transferred the diesel from tanks meant for fishermen to barges docked at the depot.

“This diesel is then believed to have been transferred to ships owned by foreign buyers at night to avoid detection by the authorities,” Azam said.

MACC Datuk Azmi Kamaruzaman confirmed the arrest of the suspect and stated that the case is being investigated under Section 16(b)(B) of the MACC Act 2009.

He also did not rule out the possibility of further actions and arrests in the near future.