Authorities have busted a syndicate in Kuala Lumpur that allegedly bought subsidised cooking oil, repackaged it as prayer oil and resold it at more than three times the original price.
Four premises in Sentul and Chow Kit were raided today under Ops Tiris 4.0, leading to the seizure of around nine tonnes of cooking oil worth RM165,000.
Bought at RM2.45, sold for RM7.50
KPDN Kuala Lumpur deputy director Mohd Shahran Mohd Arshad said the syndicate allegedly bought one-kilogramme packets of subsidised cooking oil from packers and wholesalers at RM2.45 per litre.
The oil was then transferred into bottles and sold to retailers in the Klang Valley as prayer oil for around RM7.50 per litre.
In some cases, the syndicate allegedly sold the oil without adding anything, while small amounts of other substances were added in other batches.
Nearly 1 tonne processed daily
Authorities believe the operation had been running illegally for around six months.
At one of the premises, an estimated 200 bottles or nearly one tonne of subsidised cooking oil was reportedly processed every day.
The four raided premises included two licensed wholesalers and two unlicensed locations.
Five arrested
Five men aged between 30 and 35 were arrested during the raids, comprising three Indian nationals, one Sri Lankan and one Malaysian van driver.
Authorities are also tracking down the alleged mastermind, who is believed to be a licensed wholesaler.
The case is being investigated under the Control of Supplies Act 1961 and Trade Descriptions Act 2011, including offences involving the use of unregistered labels.
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