Kuala lumpur: The Domestic Trade and Cost of Living Ministry (KPDN) will conduct Ops Kesan 6.0 from June 1 to Aug 31 to curb profiteering amid the increase in world crude oil prices resulting from the global supply crisis. KPDN enforcement director-general Datuk Azman Adam said the operation was aimed at ensuring traders do not take advantage of rising costs of raw materials, operations and business to increase prices unreasonably.
According to BERNAMA News Agency, the operation is also being conducted in anticipation of the gradual impact of the global supply crisis on supply chains, delivery costs, and the prices of essential goods in the country. Azman stated that the proactive measure was implemented to monitor and ensure traders do not exploit rising raw material, operational, or business costs to earn unreasonable profits.
Azman explained that enforcement action is being carried out following the Price Control and Anti-Profiteering Act (AKHAP) 2011 (Act 723) and the Price Control and Anti-Profiteering (Mechanism to Determine Unreasonably High Profit) Regulations 2018. The operation will utilize existing data collected regularly since the start of the West Asia crisis, with inspections covering the entire supply chain from manufacturers, breeders, and farmers to distributors, wholesalers, and retailers.
The director-general emphasized that the focus will be on several main sectors, including petrochemicals involving packaging and plastics, agriculture, livestock, and transport, particularly logistics delivery charges. Proactive inspections of other sectors will be conducted based on complaints received.
During Ops Kesan 6.0, KPDN enforcement officers nationwide will issue Goods Information Verification Notices (NPMB) under Section 21 of Act 723 to inspected premises to obtain detailed information on selling prices and operating costs. Azman stressed that strict action would be taken against traders who fail to comply with or respond to the notice, as well as those found to have submitted false information.
Legal action will be pursued under Section 14(1) of the AKHAP 2011 if initial analysis shows an increase in the current profit percentage exceeding that of the previous year, and further investigation confirms profiteering. For companies, fines may reach up to RM500,000 for a first offence and a maximum of RM1 million for subsequent offences. Individuals or non-corporate organizations face fines not exceeding RM100,000 or imprisonment of up to three years, or both, for a first offence, and up to RM250,000 or five years imprisonment, or both, for subsequent offences.