‘Drastic increase’ in bitcoin-related crimes in 2021, say police

‘Drastic increase’ in bitcoin-related crimes in 2021, say police

Selangor, Kuala Lumpur, Perak and Penang had the bulk of illegal bitcoin mining cases due to the high number of industrial zones in the states.

Some of the equipment used for electricity theft being disposed of today by the Pahang police. (Bernama pic)
ROMPIN:
Last year saw a drastic increase in illegal bitcoin mining, with 570 investigation papers opened, 528 people arrested and RM54 million worth of equipment and items seized, say police.

Bukit Aman criminal investigation department (CID) chief Abd Jalil Hassan said the figures were high compared to 2020, where only 20 investigation papers were opened and 26 people arrested, and total seizures valued at RM1.26 million.

“In 2021, the majority of those arrested were aged 18 to 30 years, believed to be easily influenced by the promise of lucrative income, while the oldest suspect was aged 61.

“We also opened 20 files under the Prevention of Crime Act (Poca) last year and from this number, 10 individuals have so far been placed under restriction order,” he told reporters after witnessing the disposal of items used in electricity theft here today.

Also present were Pahang police chief Ramli Mohamed Yoosuf, state CID chief Yusri Othman, Tenaga Nasional Bhd (TNB) chief distribution network officer Wan Nazmy Wan Mahmood and Rompin magistrate Wahidah Zainal Abidin.

Selangor, Kuala Lumpur, Perak and Penang registered the highest number of illegal bitcoin mining cases, where offenders took advantage of the states’ numerous industrial areas for bitcoin mining, which uses a lot of electricity, Jalil said.

“Most of the suspects used business premises that were isolated or hidden from the public as the activity will emit noise and heat apart from frequently causing power outage due to the high usage of electricity,” he said.

Jalil added that the police would discuss with the Attorney-General’s Chambers (AGC) to charge the offenders under Section 379 and Section 427 of the Penal Code which provides for imprisonment, compared with Section 37 of the Electricity Supply Act 1990 which carries a fine or imprisonment if convicted.

Meanwhile, TNB’s Wan Nazmy said 7,209 cases of electricity theft involving bitcoin mining premises were recorded over a period of three years from 2018.

“The activities also resulted in fire outbreaks due to non-compliance with specifications of the Energy Commission and TNB.

“TNB now uses drones which can detect heat from the air at premises suspected of committing electricity theft for illegal bitcoin mining, as well as monitoring areas recording high electricity usage but with low meter readings,” he said.

Wan Nazmy added that TNB’s Special Engagement Against Losses team, formed 10 years ago, had been strengthened in the last three years to combat electricity theft for illegal bitcoin mining.

Stay current - Follow FMT on WhatsApp, Google news and Telegram

Subscribe to our newsletter and get news delivered to your mailbox.