PETALING JAYA: A petrol station in Sungai Buaya, Nibong Tebal, Penang, has been barred from selling subsidised RON95 petrol and diesel under the Budi Madani programme due to suspected subsidy abuse.
The Finance Ministry said it also barred nine individuals, including the petrol station owner and family members, from using Budi Madani subsidies pending further action.
"This follows several complaints from Budi Madani recipients who discovered that their MyKad details had allegedly been used without their knowledge to buy subsidised petrol.
"All the complainants have lodged police reports," the ministry said in a statement on Tuesday (Oct 27).
The ministry said a review of the station’s records found more than 1,000 transactions involving the use of manual bypass methods.
"These transactions involved more than 100,000 litres of petrol, with government subsidies amounting to over RM270,000," it said.
Besides suspending the sale of subsidised fuel, the ministry has withheld the RM270,000 in subsidy payments pending further reconciliation.
The ministry said several others suspected of being linked to the case had also been identified, and their transaction records were being examined.
"Appropriate action will be taken against them if they are found to have been involved in subsidy abuse.
"The subsidies are for the benefit of the people and must not be misused for personal gain," it said.
The ministry also stressed that subsidy abuse undermined the targeted subsidy mechanism, particularly as the Middle East conflict continued to disrupt global energy supplies and put pressure on fuel prices.
The government would continue monitoring Budi Madani transactions and would not compromise with any petrol station or user found to have violated the programme’s guidelines, it added.
