Home > News > News > False declaration and tax evasion of 3.5 billion! More than 10 freight forwarding companies were involved, and many people were arrested
Contact Us
Fax: +86 755 25431456
Address:Room 806, Block B, Rongde Times Square, Henggang Street, Longgang District, Shenzhen, China
Postcode: 518115
E-mail: logistics01@swwlogistics.com.cn
Contact Now
Follow us


False declaration and tax evasion of 3.5 billion! More than 10 freight forwarding companies were involved, and many people were arrested

Samira Samira 2024-06-11 11:53:46

Sunny Worldwide LogisticsIt is a logistics company with more than 20 years of transportation experience, specializing in Europe, the United States, Canada, Southeast Asia, Australia and other markets. It is more of a cargo owner than a cargo owner~

According to Malaysian media reports, the Malaysian Anti-Corruption Commission once again teamed up with the Royal Malaysian Customs Department and the Inland Revenue Board to launch a special operation.Successfully detected the largest smuggling operation in Port Klang in the past 10 years, involving tax evasion amounting to RM3.5 billion. More than 10 freight forwarding companies were involved, and many people were arrested.


This "Ops Transit" is also the second operation jointly carried out by the above three major law enforcement agencies this year; previously, Operation Samba successfully arrested several people involved in providing smuggling syndicates at the Kuala Lumpur International Airport. Convenient customs officials have caused losses of up to RM2 billion in the past three years.


Currently, the Malaysian Anti-Corruption Commission is looking for a Singaporean citizen, who is reported to be the mastermind behind a smuggling gang in Port Klang and is suspected of evading tax of RM3.5 billion through smuggling in the past 10 years. The mastermind behind the scenes operates more than 10 freight forwarding companies and smuggles imported goods through false tax declarations; authorities estimate the gang handles about 3,000 containers per month.


During the operation, the authorities discovered that the declared containers containing wheelchairs and toilets covered taxable items including LED lights, solar lights, and canned pork, and these goods also required approval from the Energy Commission and the Malaysian Quarantine and Inspection Service (MAQIS). Import licenses from multiple agencies.


As many as 19 lorries suspected of transporting tax evaded goods were successfully seized during the special operation.


Relevant authorities are investigating under the Anti-Corruption Commission Act, the Anti-Money Laundering Act, the Customs Act, and other laws under the Inland Revenue Board.


A source said "the mastermind is holidaying overseas with his family". According to sources, the Anti-Corruption Commission has also frozen a total of nine bank accounts of the companies and individuals involved.


Earlier, Deputy Chairman (Operations) of the Anti-Corruption Commission Datuk Seri Ahmad Kusairy confirmed that the Anti-Corruption Commission had arrested seven people in this case, three of whom were officials from the Royal Malaysian Customs Department. Others arrested include the managing director and three employees of a company.


The Malaysian Anti-Corruption Commission has also obtained detainment orders for all seven arrestees. These arrestees, who are in their 30s to 50s, will be detained for three days.


10 Companies falsely declared smuggled goods



In the latest operation, law enforcement units successfully uncovered 10 "freight forwarding" companies (international and transnational import and export transportation companies) that made false declarations to smuggle imported goods; in the end, a total of 19 vehicles were suspected of transporting uninspected tax evasion goods for smuggling. Luo Li, who left the country, was detained by law enforcement teams near Selangor and Selangor.


Law enforcement officials inspect cargo carried by lorry


In addition, sources revealed that preliminary investigations revealed that the smuggling group used false reports to smuggle goods and was planned by a foreigner stationed abroad. It has been operating for 10 years.


In any case, the investigation found that the group allegedly managed about 3,000 containers per month and made false declarations through Customs Form No. 9 (permission to transfer taxable goods). If the minimum tax per container is RM7,000, these 10 Losses for the year are estimated to be as high as RM3.5 billion.


“In order to avoid being taxed, the group used Customs Form No. 9 to make false declarations by declaring ‘non-dutiable items such as wheelchairs and medical supplies in order to separate the goods.


The "flying container" only stays for 10 to 15 minutes



On the other hand, sources also pointed out that after collecting intelligence for more than three months, it was discovered that these "flying containers" (kontena terbang) will only enter the public licensed warehouse (GBA) in North Port, Klang, and the stay time will only be 10 to 15 days. Minutes, mainly to avoid the sight of the authorities, these containers will be shipped out and continue to various parts of Malaysia without going through the customs inspection process.


A special operation jointly launched by the Anti-Corruption Commission, the Customs Department and the Inland Revenue Board successfully detected the largest smuggling syndicate in Port Klang in 10 years


Intelligence shows that the smuggling group’s modus operandi is to use various “transshipment” companies to conduct false registrations. It was even found that the company was registered in the name of an individual who did not understand import and export matters in order to deceive the authorities and pretend that it had “nothing to do with the company.” to avoid any subsequent actions.


Detention for 2 people extended to 8 days



Anti-Corruption Commission Chairman Tan Sri Azam Baki confirmed the special operation in an interview and said that a thorough investigation will be carried out in accordance with various laws, including the "Anti-Corruption Commission Act 2009" and the "Anti-Money Laundering Act 1965" Acts under the Customs Act and the Inland Revenue Board Act.


The lorry suspected of carrying tax-evaded goods was intercepted and detained by relevant authorities in the Kuala Lumpur area.


Smuggling groups declare smuggled imported goods with false declarations


He also said that the Anti-Corruption Commission had brought the two persons involved in the case to the Putrajaya Magistrate’s Court on the morning of the 5th to apply for a postponement of detention, and they were allowed to postpone the detention for 4 to 8 days.


He also welcomed the cooperation of the Director General of Customs and hoped that heads of departments would take such measures to curb corruption and leaks in their respective agencies.