LPG cartel busted: 4,500 cylinders seized in night raid
Kuala Lumpur KPDN director Mohd Sabri Seman said the same premises had been raided in August last year, and action was taken against the operator.
However, continued surveillance revealed that illegal activity had resumed.
The syndicate is believed to have transferred subsidised LPG from 14kg household cylinders into 50kg industrial ones, a method known as decanting.
"The subsidised gas, purchased at RM22 per unit, was transferred and resold in industrial cylinders for between RM180 and RM240," he said.
About 4,500 cylinders of various sizes, with an estimated retail market value of RM400,000, were seized in the raid.
Sabri said the decanting process involved the use of ice blocks to cool the gas cylinders, and the frequent entry of ice trucks into the compound raised suspicions.
The repackaged gas was supplied to local businesses, including factories, hotels, and restaurants.
Although the premises held a valid LPG wholesale licence and operated legitimately during the day, it allegedly misused subsidised gas at night to avoid detection.
Investigations also revealed the syndicate was operating under multiple business entities—four to five different companies across Kuala Lumpur—to avoid being traced.
"Each time a company is raided, they change names and locations but continue the same night-time decanting activities. We believe it's the same cartel, operating under a new name," he said.
The raid, which began at 11.20pm, also led to the arrest of two Bangladeshi nationals, who claimed they had only recently started working at the warehouse and had never met their employer, believed to be a local.
Checks revealed both had valid work permits—but for the construction sector, not for handling gas.
"The local owner of the premises has been identified. The detained foreign workers will be handed over to the Immigration Department for further action," Sabri said.
The case is being investigated under Sections 21 and 61 of the Control of Supplies Act 1961.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
an hour ago
- The Star
Housing Ministry pledges full cooperation in MACC's probe of the MyKiosk tender
PUTRAJAYA: The Housing and Local Government Ministry has pledged full cooperation with the Malaysian Anti-Corruption Commission (MACC) in its investigation into alleged irregularities in the tender process of the MyKiosk initiative. The Ministry affirmed that it will not compromise with any party found involved in corruption or abuse of power. The Ministry voluntarily handed over all documents related to the implementation of the MyKiosk initiative to the MACC on May 22, 2025. 'This move reflects the Ministry's strong commitment to upholding the principles of integrity and transparency. "We welcome the MACC's investigation as a vital step to ensure every government initiative is carried out with accountability, transparency, and free from any element of corruption," the Ministry stated on Wednesday (July 2). MyKiosk, one of the Ministry's economic empowerment initiatives, aims to support small-scale traders by providing affordable kiosks nationwide. The ceiling cost for each MyKiosk 2.0 unit was set at RM25,000 by the Department of Local Government. "All procurement processes and contractor appointments under MyKiosk were carried out via open quotations by 133 local authorities across the country. "A total of 795 contractors have been appointed by the respective local authorities to undertake the supply and placement of the kiosks," it added. The Ministry reiterated that it would not tolerate any misconduct or corrupt practices at any stage of procurement or implementation, including at the local authority level. To further strengthen internal integrity, the Ministry has implemented several preventive measures, including the Traffic Light System and the establishment of Integrity Units at every local authority. These units are tasked with monitoring and assessing integrity performance while combating corrupt practices within their respective jurisdictions. Earlier, MACC Investigation Division senior director Datuk Zainul Darus confirmed that the commission had launched a preliminary investigation following a complaint lodged by a political party. "The Governance Investigation Division has also begun a parallel inquiry into the project. Besides the Ministry, which has submitted a comprehensive report on the tender process and award, several other parties involved have also submitted relevant documents," he said.
New Straits Times
an hour ago
- New Straits Times
Tropicana, MBSB Bank offer attractive financing for Johor's Skypark Kepler
JOHOR BHARU: Tropicana Corp Bhd has teamed up with MBSB Bank to offer an attractive financing package for Skypark Kepler, the first branded residences by Banyan Group, located within the Lido Waterfront Boulevard (Lido) development in Johor. Under the collaboration, eligible buyers can enjoy competitive financing margins from as low as 3.85 per cent and flexible loan tenures of up to 35 years. The exclusive financing solution, coupled with a special preferential rate, is tailored specifically for Skypark Kepler purchasers, said Usman Ghouse, MBSB Bank's group head of consumer banking. "We are proud to support Tropicana's Skypark Kepler with a tailored financing package, making premium homeownership more accessible to various buyers alike," said Usman. "This collaboration reflects MBSB Bank's ongoing commitment to empower aspiring homeowners through smart, flexible financial solutions." Skypark Kepler is the first phase of Lido, strategically situated within the Johor Bahru Waterfront Zone - a premium incentive area under the Flagship A Johor-Singapore Special Economic Zone. Starting from RM580,000, Skypark Kepler comprises 1,596 fully furnished designer units ranging from 463 sq ft to 807 sq ft across two elegant 54-storey towers, designed to appeal to young professionals, families and retirees alike. Tropicana managing director for marketing, sales and business development Ixora Ang shared that partially furnished units in Tower A are priced at about RM1,300 per sq ft, while the fully furnished residences in Tower B, featuring premium fittings and furnishings from brands like Samsung and Kohler, are priced at about RM1,800 per sq ft. "We conceptualised the Lido master plan years ago, envisioning it as Johor's future metropolis and our crown jewel in the Southern region. Lido will be a landmark township integrating seven key components, exceptional connectivity, and sustainable smart city living," she said. "We hosted soft launches to gauge the market response to this first, branded residences, and have received positive feedback." Tropicana executive director for marketing and sales Jenny Low said around 80 units at Skypark Kepler have been sold to date, with a gross development value of RM100 million - most purchases coming from foreign buyers. Skypark Kepler's official launch was marked by the unveiling of its new show units and an upgraded property gallery at Danga Bay. The freehold development stands out for its many unique features, including international zoning, proximity to the Johor Bahru-Singapore Rapid Transit System, unobstructed waterfront views, a 2.5km coastal boardwalk, a 32-acre green park, and a cultural centre. In November 2024, Tropicana held the official groundbreaking ceremony with main contractor China State Construction Engineering Corporation and signed partnership agreements with Banyan Group, Samsung, and Kohler for the residences' premium finishes and appliances. In May 2025, Tropicana appointed global architecture firm Skidmore, Owings and Merrill to lead the Lidomaster plan transformation. According to Dr. Jeffrey Yee, Tropicana's managing director for the southern region, Skypark Kepler is slated for completion and handover by late 2029 or early 2030.
The Star
an hour ago
- The Star
Negri to ban alcohol consumption in certain public areas, including parks and beaches
SEREMBAN: Negri Sembilan has decided to ban the consumption of alcoholic beverages along public beaches in Port Dickson, says Datuk Seri Aminuddin Harun. The Mentri Besar said his administration has also decided to prohibit the consumption of alcoholic drinks in public fields, children's playgrounds and recreational parks. "The state executive council, at its meeting today, decided to ban such activities in these four public areas because of the high number of complaints from the people," he told reporters after chairing the meeting at Wisma Negri here on Wednesday (July 2). "Those who flout the regulations will be liable to a compound of up to RM2,000," he said, adding that all local councils have been told to enforce the ruling within their respective jurisdictions. Aminuddin said the ban was necessary as those who consumed alcoholic beverages often caused a nuisance, which caused others to stay away from these areas. He said some irresponsible individuals would also break the bottles and leave a mess. The authorities have also received reports of injuries caused by broken glass, he added. "There have also been reports of fights among those who consume alcohol in these places, and we want to put an end to this. "All Malaysians should be allowed free access to these places anytime without having to worry about their safety or wellbeing," he said, adding that some individuals feared going near these areas when they saw groups of people consuming alcohol. Aminuddin said that at present, the state's by-laws did not specify that drinking alcohol in public places was an offence. He said policemen or local council officers who respond to public complaints are only able to advise those who do so to leave the area. "This has caused certain public areas to be popular meeting points for those who consume alcoholic beverages," he added.
