Sandakan Domestic Trade and Consumer Affairs Ministry (KPDNHEP) branch chief, Mohamad Hashim said workers on the premises were seen cutting subsidised one kilogramme (kg) cooking oil packets during the raid at Jalan Fook Hin, Batu 14, at 8.45 pm.
“The cooking oil was then poured into a black tank before being channelled into a plastic tank by using a pipe outside the premises.
“The suspect admitted to receiving the subsidised cooking oil from licensed wholesalers around Sandakan.
“The suspect also admitted to selling the cooking oil to restaurants and industrial sectors to reap a high profit, where the difference in price of the industrial cooking oil and subsidised cooking oil is RM5.40 a kilogramme,” he told a media conference here, today.
Mohamad said cooking oil worth RM20,212.50 along with equipment worth RM2,000 were seized during the raid. A one kg subsidised cooking oil packets costs RM2.50.
“The suspect was detained at the Sandakan KPDNHEP for investigation and released after his statements were recorded.
“Further investigations will be conducted on the errant wholesalers, and firm action will be taken against them,” he said.
He said the case was being investigated under Section 21 of the Control of Supplies Act 1961 which is read together with Regulation 3(1) of the Control of Supplies Regulations 1974.