Government Suspends Penang Petrol Station Over Alleged RM270,000 Budi Madani Misuse

The Finance Ministry has barred a petrol station in Sungai Buaya, Nibong Tebal, Penang, from selling subsidised RON95 petrol and diesel under the Budi Madani programme following suspected subsidy abuse involving more than RM270,000. The investigation began after affected recipients lodged police reports alleging their MyKad details had been used without their knowledge. Ministry checks uncovered more than 1,000 manual-bypass transactions involving over 100,000 litres of fuel.

Finance Ministry Withholds Payments as Nine People Face Subsidy Restrictions

The ministry has withheld subsidy payments exceeding RM270,000, with the final amount subject to further adjustment. Nine individuals, including the petrol station owner and family members, have also been blocked from using Budi Madani subsidies while further action is carried out. The station was not publicly named in the ministry’s statement.

Authorities Warn Against Misusing Targeted Fuel Assistance

Officials are reviewing transaction records involving other individuals potentially linked to the case. The ministry warned that further action would be taken if subsidy abuse is established, stressing that the programme is designed to ensure assistance reaches eligible recipients. It also described misuse as a betrayal of the targeted-subsidy system, particularly amid global energy supply disruptions and pressure on fuel prices. The case highlights the government’s efforts to tighten enforcement and protect public funds intended to ease Malaysians’ cost of living.

A Penang petrol station has been barred from Budi Madani fuel subsidies after authorities detected suspected misuse involving more than RM270,000.

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