Latest news with #OpsMetal
New Straits Times
4 days ago
- Business
- New Straits Times
MACC's crackdown on illegal steel scrap bolsters fair trade practices: Industry body
KUALA LUMPUR: Malaysia Steel Association (MSA) says Malaysian Anti-Corruption Commission's Ops Metal initiative is strengthening fair trade practices, while supporting economic integrity and the development of sustainable supply chains. It said the illegal outflow of steel scrap results in domestic supply shortages, driving up costs and affecting the production output of local manufacturers. Ops Metal saw enforcement actions carried out at 19 locations, with illicit activities causing Malaysia to reportedly lose more than RM950 million in tax revenue over the past six years, averaging RM160 million each year. MSA said such substantial losses undermine the country's fiscal stability and erode market confidence. "Illicit exports directly undermine Malaysia's industrial decarbonisation efforts. Steel scrap is essential for low-carbon steel production, leading to substantially lower greenhouse gas emissions compared to traditional methods. "A secure and transparent domestic scrap supply is therefore paramount for achieving Malaysia's Net Zero by 2050 commitment, aligning with the New Industrial Master Plan 2030 which identifies basic metals as a key enabler of the green economy," it added. MSA said illicit steel scrap activities directly endanger the industry's sustainability, emphasising that this essential raw material is crucial for maintaining robust industrial operations, supporting job creation and driving sustainable national development. It added that coordinated, multi-agency efforts involving key government enforcement and financial bodies are essential to effectively combat illicit activities. "To ensure vital material supply for essential projects and long-term sustainability, MSA urges implementation of strategic frameworks that will enhance transparent domestic scrap circulation, facilitate circular economy integration, and ensure the continuity of low-emission steel production," it said. The association added that such measures are crucial to support Malaysia's infrastructure growth and climate goals, as they help strengthen industrial stability, uphold environmental responsibilities and boost global competitiveness.
The Sun
4 days ago
- Business
- The Sun
Ops Metal key to restoring supply chain integrity and investment confidence
KUALA LUMPUR: The Malaysia Steel Association (MSA) has emphasised the importance of the Malaysian Anti-Corruption Commission's (MACC) 'Ops Metal' in safeguarding supply chain integrity and reinforcing investor trust. The operation targets illegal scrap metal exports, which have cost Malaysia RM950 million in lost tax revenue over six years. The MSA stressed that unchecked scrap outflows threaten industrial resilience, climate targets, and job creation. It urged stronger frameworks for transparent domestic scrap circulation to support low-emission steel production and circular economy goals. 'Multi-agency collaboration is vital to curb smuggling and align with Malaysia's infrastructure and climate commitments,' the MSA stated. The recent raids, including at NationGate Solution (M) Sdn Bhd, uncovered systemic tax evasion averaging RM160 million annually. The steel sector, contributing 2.5% to GDP and supporting 112,000 jobs, faces supply shortages and inflated costs due to illegal exports. The MSA warned these activities jeopardise Malaysia's Net Zero 2050 target and NIMP 2030's green economy vision. MITI's actions against tariff circumvention were commended, with the MSA reiterating the need for market discipline to sustain economic stability and supply chain security. - Bernama
The Star
4 days ago
- Business
- The Star
RM183mil in assets seized
Shock and awe: ACTS officers storming a luxury residence in a high-stakes dawn raid in Batu Maung, Penang. — ZHAFARAN NASIB/The Star BUTTERWORTH: A day after uncovering a metal and e-waste smuggling syndicate, the Malaysian Anti-Corruption Commission (MACC) continued its crackdown with asset seizures of over RM183mil. The coordinated sweep at 13 locations across Penang, Kedah, Johor and the Klang Valley yesterday was conducted with the Customs Department, Inland Revenue Board and Bank Negara Malaysia as part of Ops Metal. In the second blitz in Penang yesterday, the MACC's elite Anti-Corruption Tactical Squad (ACTS) stormed a company involved in e-waste processing in the Perai industrial area, Butterworth. The team inspected company documents and examined e-waste components after briefly questioning a security guard. A man believed to be the company's chief operating officer also provided the investigating team with information and a tour of the warehouse facility. Some workers, including foreign nationals, were also checked for proper documentation. MACC said 45 company bank accounts and 82 personal accounts, amounting to RM51mil, were frozen in the operation. The assets seized were a 793ha oil palm plantation in Kuala Krai, Kelantan, along with eight properties in Penang – three bungalows in Batu Maung, a penthouse in Tanjung Tokong, a shoplot in Bayan Lepas, 12.54ha of land in Nibong Tebal, 2.8ha in Batu Uban and 2.26ha in Juru. Also confiscated were six luxury cars valued at over RM1.9mil and five branded watches collectively worth more than RM740,000. MACC Chief Commissioner Tan Sri Azam Baki confirmed the seizure of the properties, vehicles and watches, as well as the freezing of bank accounts. 'The MACC is identifying parties in cahoots with this syndicate, which smuggled metal and e-waste through Port Klang and Penang Port. 'This has resulted in about RM950mil losses in tax revenue over the past six years. 'The focus of the investigation is on offences under Sections 16 (relating to soliciting or accepting gratification) and 18 (pertaining to deception through false claims) of the MACC Act 2009. 'We are also analysing and identifying elements of other criminal offences, including money laundering activities. 'This includes investigations by other agencies under the Income Tax Act 1967 and the Customs Act 1967,' he said. On Monday, the MACC began a large-scale crackdown, targeting 19 locations in Penang, Selangor, Negri Sembilan, Johor and Kedah. The operation centred on a prominent scrap metal company owner with a 'Datuk' title. However, the suspect – believed to be a foreign national – was not at his home in Batu Maung, having reportedly left the country two days earlier. The team then moved to a scrap metal storage and processing facility on Jalan Bukit Minyak, in mainland Penang, believed to belong to the suspect. For over six years, the well-organised smuggling syndicate has exported scrap metal and e-waste to several countries, evading nearly RM1bil in export duties. The group falsely declared the cargo as machinery and other non-taxable metal goods to bypass the government's 15% export duty, with destinations including China, India and others. To execute the scheme, the syndicate is alleged to have bribed Customs Department officers, establishing a corrupt network that operated undetected for years.
The Star
6 days ago
- The Star
Steely stand against smuggling
Swift and efficient: A MACC elite Anti-Corruption Tactical Squad member rounding up a worker during a raid at a scrap metal processing and storage facility on Jalan Bukit Minyak, Seberang Perai, Penang. – ZHAFARAN NASIB/The Star GEORGE TOWN: For over six years, a well-organised smuggling syndicate has exported scrap metal to several countries, evading nearly RM1bil in export duty. The group falsely declared the cargo as machinery and other non-taxable metal goods to bypass the government's 15% export duty, with destinations including China, India and others. To execute the scheme, the syndicate is alleged to have bribed Customs Department officers, establishing a corrupt network that operated undetected for years. This illicit collaboration is estimated to have caused RM160mil in direct tax losses annually, with total projected losses exceeding RM950mil over six years. Sources said the syndicate operated its own scrapyard with storage and processing facilities, enabling it to collect, sort and prepare large volumes of scrap metal for export in-house. This full operational control allowed the group to manipulate documentation, conceal the true nature of the cargo, and coordinate shipments with minimal external scrutiny. Luck ran out for the syndicate yesterday when the Malaysian Anti-Corruption Commission (MACC) launched a large-scale crackdown codenamed "Ops Metal", targeting 19 locations across Penang, Selangor, Negri Sembilan, Johor and Kedah. In Penang, media outlets, including The Star, were on the ground from as early as 5am to witness a high-profile raid at a luxury residence in Batu Maung. Clad in tactical gear, officers from the MACC's elite Anti-Corruption Tactical Squad (ACTS) searched the multi-storey property for evidence linked to the smuggling and corruption ring. The operation centred on a prominent scrap metal company owner with a "Datuk" title. However, the suspect – believed to be a foreign national – was not at home, having reportedly left the country two days earlier. Only several women, believed to be his wife, mother and domestic helper, were present. The team then moved to a scrap metal storage and processing facility on Jalan Bukit Minyak, Penang mainland, believed to belong to the suspect. Around 30 workers were detained for questioning and later released after a man, thought to be the facility's supervisor, assured full cooperation with the investigation. No arrests were made across all 19 locations, though investigations remain active and the total value of seized assets has yet to be disclosed. MACC chief commissioner Tan Sri Azam Baki confirmed the coordinated raids targeted manufacturers and companies suspected of large-scale tax evasion and bribery in scrap metal exports. The case is being investigated under Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001. Efforts are also ongoing to identify those involved, including public servants suspected of facilitating the illicit operations.
