KUALA LUMPUR: The Malaysian Anti-Corruption Commission has uncovered label fraud and the erasure of bar codes on tyres during its investigation codenamed Op Grip.
A source revealed that other findings include the sale of tyres through unauthorised distributors and the smuggling of imported tyres.
These discoveries resulted from comprehensive inspections of 17,672 tyre units seized during raids on September 29 at six warehouses and containers involving two companies.
The inspection was conducted jointly with technical representatives from Toyo Tires, Yokohama, Bridgestone, Michelin, Pirelli, Continental, Dunlop, and Maxxis.
The Ministry of Domestic Trade and Cost of Living and the Standards and Industrial Research Institute of Malaysia also participated in the inspection.
The purpose was to identify tyre authenticity, verify compliance with safety standards, and detect sales through unauthorised channels.
Several personal and company bank accounts with an estimated value of about 70 million ringgit were frozen during the operation.
Various assets believed acquired through money laundering activities were also seized by authorities.
These assets include six plots of land used as warehouse sites valued at 4.5 million ringgit.
Two units of double-storey terrace houses worth 2 million ringgit were also confiscated.
Authorities seized one townhouse unit valued at 2 million ringgit and one four-storey shop lot unit worth 4 million ringgit.
The total value of freezing and seizures reached 82.5 million ringgit according to the source.
MACC Special Operations Division Senior Director Datuk Mohamad Zamri Zainul Abidin confirmed the information when contacted.
He said the investigation is being conducted under Section 18 of the MACC Act 2009.
The investigation also falls under Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
On September 29, MACC uncovered activities involving tyre smuggling and falsification of import and export documents.
These activities are believed to have caused the government to suffer tax revenue losses of approximately 350 million ringgit since 2020.
Raids were carried out on several companies involved in the tyre import business across 23 locations.
The operations targeted warehouses and tyre storage containers around the Klang Valley, Penang, and Johor. – Bernama