The Ministry of Finance (MOF) has issued a warning that individuals caught misusing another person’s MyKad to fraudulently claim BUDI MADANI RON95 (BUDI95) fuel subsidies face a fine not exceeding RM20,000 and imprisonment of up to three years. The warning comes amid a rise in identity theft cases reported at petrol stations nationwide.
In a statement, the ministry stressed that the unauthorised use or possession of another person’s MyKad is an offence under Regulation 25 of the National Registration Regulations 1990, and will be dealt with strictly in accordance with the law.
The alert follows a recent case in Kedah, where a man pleaded not guilty at the Alor Setar Sessions Court on May 20 for allegedly using other individuals’ MyKad numbers to purchase subsidised petrol. Authorities said the case has exposed weaknesses in manual verification processes at fuel pumps.
General observers note that subsidy fraud has become a growing concern as targeted assistance programmes expand, making identity verification a key safeguard in preventing misuse and protecting public funds.
In response, the MOF has directed all oil retail companies to tighten compliance with standard operating procedures (SOPs), particularly ensuring mandatory physical MyKad verification before any manual transaction is carried out.
Oil companies have also been instructed to investigate stations found violating SOPs and to take disciplinary action where necessary. Additional measures include retraining frontline staff and ensuring clear display of verification procedures at payment counters.
General policy analysts say stronger enforcement at the operational level is crucial in closing loopholes within large-scale subsidy systems, especially where high transaction volumes increase the risk of abuse.
Members of the public receiving BUDI95 subsidies are advised to regularly check their transaction records via the official portal. Those who detect suspicious activity are urged to lodge a police report immediately.
Victims are given 30 days from the date of the incident to submit a formal complaint to the BUDI MADANI Contact Centre (BMCC), supported by relevant documents including a police report, a copy of their MyKad, and details of disputed transactions.
The BMCC operates 24 hours daily via hotline, WhatsApp, and email channels. The MOF has urged the public to remain vigilant, avoid sharing MyKad information with third parties, and reaffirmed that strict action will be taken against any form of subsidy abuse.
