SEPANG: Police raided five premises suspected of conducting illegal Bitcoin mining activities during a special operation on the cryptocurrency mining machines here last Friday.
Sepang district police chief ACP Norhizam Bahaman said five separate teams conducted the raids simultaneously, between 10 am and 7 pm, on three premises in Bandar Baru Salak Tinggi and two in Putra Perdana.
He said the investigation was initiated by him a few months ago in addition to complaints from the public.
The special operation also involved a special team from the Tenaga Nasional Bhd (TNB) headquarters in Bangsar, Kuala Lumpur.
Preliminary investigations found that each premises could generate profits of around RM15,000 to RM20,000 per month through illegal bitcoin mining.
“We were informed that a syndicate had stolen electricity supply to carry out the Bitcoin mining activities, with losses to TNB amounting to RM86,089 a month,” he said in a press conference here today.
He said the total losses incurred by TNB in the Sepang area from January to this month are estimated to be around RM516,534.
Norhizam said that as a result of the raids, 143 Bitcoin mining machines and items used for that activity, worth more than RM171,600, were seized.
The police have arrested four local men, aged between 20 and 40 years old, who acted as guards of the premises, on one of the premises in Putra Perdana.
He said all the men were remanded for three days starting last Saturday to assist in the investigation.
According to him, all the suspects do not have any criminal records and his team has opened five investigation papers under Section 427 of the Penal Code and Section 37(1) of the Electricity Supply Act 1990.
“If convicted, the suspects may face a penalty under Section 427 of the Penal Code, which is imprisonment for a term not exceeding two years or a fine or both.
“Meanwhile, under Section 37 (1) of the Electricity Supply Act 1990, a fine not exceeding RM100,000 or imprisonment for a period not exceeding five years or both may be imposed,“ he also said.
He added that members of the public who have any information related to illegal Bitcoin mining activities, including illegal electricity connections, can report the matter to the nearest police station or contact the Sepang IPD (district police headquarters) hotline at 03-87774222.
