Search
Close this search box.

Fake Fuel Tanks, Fleet Card Abuse Among Tactics In Subsidised Diesel Syndicate – Azman

Kuala lumpur: The use of modified vehicles fitted with hidden fuel tanks and the abuse of fleet card facilities have been identified as among the main tactics employed by syndicates involved in the embezzlement of subsidised diesel. Ministry of Domestic Trade and Cost of Living (KPDN) Director-General (enforcement) Datuk Azman Adam said syndicates have adopted increasingly sophisticated methods, including installing additional fuel tanks concealed beneath seats, inside bonnets and underneath vehicles without regulatory approval.

According to BERNAMA News Agency, Azman highlighted that some smaller vehicles had even been modified with tanks far exceeding their original fuel capacity to enable the purchase of larger quantities of subsidised diesel. He explained one tactic involves creating two fuel inlets, where fuel appears to be pumped into the standard tank but is actually diverted into a hidden auxiliary tank. This revelation was made at a press conference discussing the achievements of Ops Tiris from 2025 to March 2026.

Azman noted that diesel-related offences remained the most prevalent, with 166 cases recorded in just one month under Ops Tiris 4.0, which began on March 16. Offences involving petrol and liquefied petroleum gas (LPG) followed closely. Other methods uncovered include the use of covered vehicles to conceal storage tanks and repeated fuel purchases before the subsidised diesel is collected and resold to industrial users or smuggling networks.

He further explained that the abuse of fleet cards has emerged as a growing trend, with certain parties exploiting the subsidy mechanism to purchase diesel at subsidised rates before reselling it to industries at significantly higher prices. The substantial price gap between the subsidised fleet card rate of around RM2.15 per litre and the industrial market price of RM7 to RM8 per litre has been a key driver of the illegal activity.

Investigations suggest that those involved may include drivers, companies, or both, depending on the findings of each case. Azman cited a recent case in Johor where KPDN seized eight fleet cards believed to have been used to obtain subsidised diesel for resale to industrial buyers. He remarked that the fleet card facility was introduced to help reduce operating costs in the transport sector, but some parties have abused it for profit.

Meanwhile, Azman revealed that KPDN has activated a seven-day-a-week war room to coordinate enforcement operations in border areas involving six key controlled commodities, namely diesel, petrol, LPG, flour, sugar, and cooking oil. To date, the ministry has received 46 public complaints related to these commodities, with public information continuing to play a vital role in enforcement efforts against smuggling and subsidy leakages.

In another development, Azman announced that the 54th KPDN Enforcement Day celebration, themed 'Committed to Meeting Challenges', will be held in Cyberjaya on April 28. The event aims to recognise the contributions of the KPDN Enforcement Division in combating subsidy leakages, preventing the misappropriation of controlled goods, and safeguarding consumer interests. With approximately 2,400 enforcement officers nationwide, KPDN remains committed to strengthening monitoring and enforcement to ensure adequate supply, price stability, and continued consumer protection.

Recent News

ADVERTISMENT