Gang Arrested for Selling Fake Oil Worth 58 Billion Won Using Oil Smuggled from a Ship
38 Arrested Including Vice Boss of Jeonbuk Violent Organization, 9 Detained
A group involved in producing and selling counterfeit petroleum products worth 58 billion KRW using oil siphoned from ships has been apprehended.
According to the Chungnam Provincial Police Agency on the 3rd, 38 individuals including A, the deputy leader of a violent organization in the Jeonbuk region, are suspected of mixing marine fuel oil and diesel?both only legally usable at sea?to manufacture 4,200 liters of fake petroleum products worth 58 billion KRW from June 2021 to July 2022, and selling them at 25 gas stations.
They organized a criminal group called L Corporation to sell the fake petroleum, dividing roles among a general manager, investors, sulfur analysis personnel, inventory managers, drivers, gas station managers, and front men to take the blame during police crackdowns. The police arrested 38 suspects including A, detaining 9 and sending 29 to prosecution without detention.
The police received intelligence that A was manufacturing fake diesel products and selling them at gas stations in the Chungnam area. Samples collected from gas stations were sent to the Korea Petroleum Quality Management Institute for component analysis, which detected counterfeit petroleum components.
Marine fuel oil contains a high amount of sulfur and is prohibited for use on land due to its potential to pollute the air. The sulfur content in land-use diesel sold commercially is limited to no more than 10 ppm, but the fake diesel they sold contained 318 ppm?32 times the legal limit.
The police conducted undercover investigations, identifying tanker trucks transporting marine fuel oil and their drivers. By analyzing movement routes and phone records, they raided 25 gas stations and L Corporation, arresting the suspects.
Police investigations revealed that the marine fuel oil was illegally siphoned from a large vessel docked at a port in Incheon in collusion with the ship’s captain. They mixed expensive chemicals with the reddish marine fuel oil to produce yellow-colored fake diesel.
They also showed meticulousness by hiring front men for 100 million KRW to take the blame during police crackdowns.
The police plan to recover all criminal proceeds through seizure and preservation measures before prosecution.
Kim Sang-deuk, head of the Criminal Mobile Unit, stated, "Vehicles fueled with counterfeit petroleum products are highly likely to experience defects and may cause major fires while driving. Marine fuel oil with high sulfur content is a primary cause of air pollution and can harm human health. We urge the public to actively report any confirmed sales of fake petroleum products."
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