JOHOR BAHRU: Johor police have busted a syndicate that was carrying out illegal bitcoin cryptocurrency mining activities using electricity supplies stolen from Tenaga Nasional Berhad (TNB), through raids at four premises around Iskandar Puteri, Johor Bahru Utara (JBU) and Kulai last Wednesday and yesterday.
Johor Police Chief Datuk Ab Rahaman Arsad said the raid through Ops Letrik was carried out by a police team from the Criminal Investigation Department (D4), Johor Police Contingent Headquarters (IPK) together with the TNB Southern Branch SEAL team.
He said that in the operation, three men aged between 26 and 46 years old, consisting of three men, were arrested on suspicion of being involved in bitcoin mining activities by stealing electricity supplies belonging to TNB.
“Four premises were raided, two each around Iskandar Puteri, one in North Johor Bahru and one in Kulai.
“In the raid, the police seized 71 cryptocurrency mining machines, two computers, two laptops, five routers, six padlocks of various brands, two monitors, two computer keyboards, a mouse, three sets of keys, a mobile phone and two vehicles,” he said in a press conference at the Johor IPK, here today.
Ab Rahaman said initial investigations found that the syndicate had been operating for about a month before being busted as a result of intelligence and information sharing between the police and TNB.
He said the syndicate was believed to be using a direct connection or tapping method without going through a valid electricity meter from TNB to enable bitcoin mining activities to be carried out without paying electricity bills according to the actual tariff rate.
Ab Rahaman said TNB’s review also found that the estimated losses incurred by the utility company due to cryptocurrency mining activities at the four premises amounted to RM67,502.30 for a period of about a month.
The four premises raided, he said, were three residential houses and one shophouse that were rented and believed to be used by a syndicate to carry out illegal Bitcoin mining activities.
He said investigations also found that the rental rate for each premise was approximately RM5,000 to RM6,000 per month and the police were still investigating the parties involved in the rental of the premises.
He said one of the suspects arrested was believed to be acting as the manager of the four premises, while two other men were suspected of acting as outside technicians believed to be from Selangor to manage the installation of wiring and bitcoin mining machines.
“Initial investigations also found that the syndicate is believed to be able to generate profits of between RM80,000 and RM100,000 within a month, while the arrested suspect is believed to receive wages of approximately RM5,000 per month.
“The three suspects are now remanded for four days until July 26 to assist in the investigation and the police are actively tracking down several other individuals who are believed to be linked to the syndicate,” he said.
He said the case is being investigated under Section 427 of the Penal Code for treason, which provides for a prison sentence of not less than one year and not more than five years or a fine or both, if convicted.
The case is also being investigated under Section 37(1) of the Electricity Supply Act 1990 for interfering with or altering an electrical installation, which provides for a fine not exceeding RM100,000 or imprisonment not exceeding five years or both, if convicted.
For the record, between January 2025 and June 2026, the Johor police contingent raided 16 premises believed to be carrying out illegal cryptocurrency mining activities, seizing various equipment including 158 cryptocurrency mining machines.
“The estimated losses incurred by TNB due to the activities in question during that period were almost RM1 million,” he said.
— BERNAMA
