Penang police chief Sahabudin Abd Manan said the syndicate had been operating for the past four months, distributing cigarettes with unpaid duties.

He said a total of nearly five million sticks of cigarettes were seized, including nine vehicles, bringing the total value of seized items to over RM8 million.

Sahabudin said 12 people aged 18 to 38 were arrested for investigation under Section 135(1)(d) of the Customs Act 1967 for harbouring uncustomed or prohibited goods and also for breaching the SOP under the movement control order (MCO) on travelling without a permit.

The offence carries a fine of 10 to 20 times the amount of the customs duty or fines of RM50,000 to RM100,000, or a maximum jail sentence of three years. The 12 arrested were also fined RM5,000 each for breaching MCO rules.

Last week, police seized RM14.1 million worth of contraband cigarettes at two secluded warehouses in Kampung Selamat, Tasek Gelugor, Butterworth. Five men were arrested.