KUALA LUMPUR: The large-scale tobacco, cigarette and cigar smuggling syndicate responsible for an estimated RM250mil in government revenue losses from 2020 to last year is believed to have links to several Malaysian Armed Forces personnel arrested during Ops Sohor.
According to a source, the Malaysian Anti-Corruption Commission (MACC) has recorded statements from 10 individuals and is investigating 14 companies believed to be linked to the case.
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“The syndicate allegedly used false declarations during the import process by altering Customs codes or product details.
“The contraband was then stored in private warehouses before being distributed to the market,” the source said on Thursday (Aug 21).
Initial investigations suggest that the smuggling operation may have been facilitated by certain enforcement personnel who provided safe passage for the goods at entry points, protected storage facilities, and failed to take enforcement action.
“Payments to these enforcement officers were allegedly made regularly in cash or through intermediaries to obscure financial trails,” the source said.
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It added that the syndicate is also suspected of having direct links with several Armed Forces personnel arrested during Ops Sohor on Aug 14, pointing to a wider protection network.
On Tuesday (Aug 19), MACC’s Special Operations Division, together with the Customs Department, Inland Revenue Board and Bank Negara, launched Ops Sikaro in the Klang Valley and Johor, targeting premises suspected of being used for smuggling activities.
The investigations are being carried out under Section 16 of the MACC Act 2009 and Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
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Following the operation, MACC froze several personal and corporate bank accounts worth a combined RM218mil and is now tracing other assets allegedly acquired through money laundering by implicated Customs officers and importing firms.
MACC chief commissioner Tan Sri Azam Baki, when contacted, reiterated the commission’s commitment to pursuing the matter thoroughly.
“MACC will not compromise and will take stern action against any party involved in activities that undermine the integrity of the country’s control system and cause revenue leakages,” he said.