Gyeonggi Special Judicial Police Crack Down on 20 Including Gas Station Operators Distributing Illegal Petroleum Worth 1.4 Billion Won

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Gyeonggi Province has uncovered a large number of fuel station operators who supplied duty-free marine fuel, mixed it with diesel or kerosene, and sold fake diesel, as well as petroleum sellers who evaded taxes through undocumented transactions.

Fake diesel causes air pollution and can also lead to vehicle malfunctions.

The Gyeonggi Province Special Judicial Police Unit announced on the 13th that from July to December this year, in cooperation with the Korea Petroleum Management Service, they conducted investigations into illegal distribution of petroleum products, arresting 20 individuals involved in illegal manufacturing and tax evasion of petroleum products, sending 16 to the prosecution and criminally charging 4 others.

The total volume of illegally distributed petroleum products, including fake petroleum and undocumented transactions without taxable records, amounted to 970,000 liters, with a market value of 1.4 billion KRW, and the tax evasion from undocumented transactions reached 130 million KRW.

Among the major cases uncovered, fuel station operator A received 32,000 liters of duty-free marine fuel mixed with 70% high-sulfur petroleum intermediate products from unregistered operator B without documentation, mixed it with regular diesel, and sold it to consumers, earning 46 million KRW in illicit sales. The Special Judicial Police confiscated and destroyed all 12,000 liters remaining in the storage tank.

Five fuel station operators, including C, operated gas stations and prepared 706 liters of fake petroleum by mixing 25-30% kerosene with diesel in home lorry vehicle tanks, selling it as fuel for dump trucks and excavators at apartment construction sites in Yongin, Ansan, Namyangju, and other areas, where they were caught on site.

Fuel station operators D and E deliberately omitted supply situation reports to the Korea Petroleum Management Service and sold 589,000 liters of diesel illegally purchased through undocumented cash transactions from unregistered operators, gaining 840 million KRW in illicit profits and evading 130 million KRW in taxes before being caught.

Seven petroleum sellers, including F, sold 230,000 liters of gasoline that exceeded summer gasoline vapor pressure standards or contained sulfur levels more than ten times the limit, generating 369 million KRW in illicit sales. The remaining gasoline was also stored in underground storage tanks connected to fuel dispensers for sale, leading to their detection.

G operated multiple gas stations and sold 120,000 liters of legitimately supplied diesel to a general agency he owned, then resold it to another gas station he owned, earning 162 million KRW in illicit profits. Under the current Petroleum and Petroleum Alternative Fuel Business Act, gas stations are prohibited from selling diesel to general agencies that are not end consumers.

Fuel station operators K and L were caught on site while illegally selling 472 liters of kerosene and diesel as vehicle fuel using mobile home lorry vehicles at a construction site in Yongin.

Kim Young-soo, head of the Gyeonggi Province Special Judicial Police Unit, emphasized, "As fuel prices rise, illegal distribution of fake petroleum mixed with duty-free fuel is increasing," adding, "We will continue on-site crackdowns on the petroleum distribution industry in cooperation with the Korea Petroleum Management Service and focus investigative efforts to eradicate illegal distribution of petroleum products."

This content was produced with the assistance of AI translation services.