Reward whistleblowers to nab diesel syndicates in Sabah, Sarawak, govt told

 

The Malaysian Anti-Corruption Commission recently exposed a syndicate in Sibu, Sarawak, that is alleged to have earned up to RM400 million from subsidised diesel since 2012. (MACC pic)

PETALING JAYA: 

An economist has proposed that the government offer incentives to whistleblowers to combat the ongoing misappropriation of subsidised diesel by syndicates, especially in Sabah and Sarawak where retail prices have not been floated.

Citing a case involving a subsidised diesel syndicate in Sibu, Sarawak, Barjoyai Bardai of the University of Science and Technology Malaysia said such resources must be protected to avoid leakages that could result in billions of ringgit in public funds being lost.

Besides continuous efforts in 

hot spots,

 Barjoyai said the government should introduce and increase incentives for whistleblowers to encourage early intervention.

In many instances, these activities are openly carried out, with diesel stored in lorries or tanks that are visible to many,

 he told FMT.

If anyone spots suspicious activities, they should report it directly to the authorities without fear. So, offer them incentives and protect them.

Recently, the Malaysian Anti-Corruption Commission (MACC) launched 

Op Liter

 to tackle the misappropriation of subsidised diesel intended for fishermen, which uncovered a syndicate that had allegedly generated up to RM400 million in illicit profits since 2012.

As part of the operation, MACC also raided a diesel storage depot in Sungai Bidut, seizing two barges and 30 storage tanks believed to hold approximately 1.6 million litres of diesel, in addition to confiscating approximately RM3.7 million in cash.

The suspects, identified as members of the syndicate, had allegedly bribed enforcement officers to avoid penalties, including operating without valid permits for storing diesel.

Ahmed Razman Abdul Latiff, Putra Business School’s director of business development, said mitigating the risk of diesel misappropriation, particularly in Sabah and Sarawak, can be challenging due to the vast region.

However, he said, preventive measures must be taken to ensure the country’s resources do not fall into the hands of unscrupulous parties.

Rotate enforcement officers more frequently who are tasked with overseeing diesel supply in the area to reduce the risk of corruption,

 he said.

Additionally, improve the reward system to motivate officers to reject bribery. - FMT