A petrol station in Sungai Buaya, Nibong Tebal has been barred from selling subsidised RON95 petrol and diesel under the Budi Madani programme after a Finance Ministry review found suspected abuse of the scheme, Malay Mail reported today.
The ministry said its checks, triggered by police reports lodged by affected recipients, found more than 1,000 transactions recorded through a manual bypass method. Those transactions involved over 100,000 litres of petrol and more than RM270,000 in government subsidies.
Subsidy payments to the station, initially more than RM270,000 and subject to further adjustment, have been withheld, according to The Star.
Nine people, including the station owner and family members, have also been blocked from using Budi Madani subsidies while follow-up action is carried out. The ministry did not name the petrol station.
The case surfaced after several recipients discovered that their MyKad details had allegedly been used without their knowledge to buy subsidised petrol. All the complainants lodged police reports, and the ministry then reviewed the station’s transaction records.
In a statement issued today, the ministry framed the alleged abuse as an attack on the purpose of targeted subsidies. “Any subsidy misuse is a betrayal of the goal of targeting subsidies, even more so while the conflict in West Asia continues to disrupt global energy supply and pressure fuel prices,” it said.
It added that subsidies are meant for the benefit of the people and must not be used for personal gain. The government, it added, would act firmly against any station or consumer that breaches the programme’s guidelines.
The ministry said it has identified several other individuals suspected of being linked to the case and is examining their transaction records. Appropriate action will follow if they are found to have been involved in subsidy abuse.
Budi Madani channels petroleum subsidies to eligible Malaysians, with purchases verified against the MyKad at the pump. Stations record each subsidised sale, which is how the ministry traced the volume and value of the disputed transactions in Nibong Tebal.
The ministry said monitoring of Budi Madani transactions will continue, and that it will not compromise with any station or user found to have violated the programme’s rules. It also tied the enforcement push to current pressure on global energy supplies, noting that leakage in the subsidy system works against the households the programme is meant to protect.
