Sparking electrical wires in Miri shophouse leads to discovery of illegal crypto mining operation

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Cryptocurrency mining servers seized from the Taman Jelita shophouse.

KUCHING (June 7): A cryptocurrency miner was caught stealing electricity to power his mining activities at a Taman Jelita shophouse in Miri.

Sarawak Energy in a statement said the case was detected when it first received complaints from the public seeing sparking at the electrical wires.

“After finding out that the wires were connected directly to the premises and bypassing the meter, the team immediately proceeded with the raid.

“More than 80 cryptocurrency mining servers were found on the premises, together with other electronic equipment used to mine the cryptocurrency. All these were seized together with the direct tapping cables,” it said.

It said losses incurred by the electricity provider were estimated to be around RM14,300 per month in this case.

A police report has been lodged and all involved parties will be called for investigations.

Sarawak Energy warned individuals and business entities not to steal electricity as it can lead to safety hazards not only to themselves but to their neighbours as well.

“For those stealing electricity for cryptocurrency mining, the high energy consumption can also lead to electrical system overload, as the systems are not normally designed to cater for such high energy requirements. In many situations, the tampered electrical wirings are non-standard and unsafe for operation.

“Whenever an electrical system is overloaded or tampered with, it raises the risk of short circuits, appliance damage and fires. In some cases, it may even lead to loss of lives,” it said.

The utility company stressed that stealing electricity is a dangerous crime which is punishable under Section 33(5) of the Electricity Ordinance.

Those found guilty may face penalties of up to RM100,000 and/or five years in jail.

Sarawak Energy strives to curb electricity theft and will continue to work with the Ministry of Utility and Telecommunication, the police and the Malaysian Anti-Corruption Commission to eradicate this crime in Sarawak.

“Unfortunately, individuals are still inclined to steal electricity despite the state offering the lowest electricity tariff in Malaysia and in the region,” it said.

It reminded members of the public not to trust service providers claiming to be able to reduce electricity use or allow premises owners to enjoy unlimited usage of electricity through meter tampering.

“Sarawak Energy’s meter inspection teams are trained to detect various electricity theft methods such as tampered meters, fake electricity meter covers, underground direct tapping and smart meter indications – as part of Sarawak Energy’s efforts to curb power theft,” it said.

It also said landlords are to be mindful when renting premises and transfer the electricity account to the tenants so as not to be implicated in any electricity theft activities by the said tenants.

Those with power theft information are strongly encouraged to step forward and contact Sarawak Energy’s customer care centre at 1300-88-3111 or email at [email protected] where all information received will be kept strictly confidential.