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Fuel Laundering

Dáil Éireann Debate, Thursday - 2 October 2014

Thursday, 2 October 2014

Questions (115)

Michelle Mulherin

Question:

115. Deputy Michelle Mulherin asked the Minister for Justice and Equality the number of complaints of petrol stretching the gardaí in Mayo divisions have received for each month for the past four months; the position regarding these complaints; the number that have been investigated resulting in an individual being charged or a file being forwarded to the Director of Public Prosecutions; and if she will make a statement on the matter. [37529/14]

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Written answers

I have been advised by the Garda authorities that An Garda Síochána's Mayo Division has received eighty six complaints of petrol stretching in the past four months. These complaints, details of the numbers of which are shown in the table below, have been received by the Garda Divisions in Claremorris and Ballina.

I am further informed that these complaints are currently under investigation and that no individuals have been charged nor files forwarded to the Director of Public Prosecutions to date. An Garda Síochána are continuing to investigate these complaints and are liaising with the injured parties. Contact has also been made with Revenue's Customs Service who take the enforcement lead nationally in relation to this issue and who have arranged to have fuel samples from these cases analysed for contaminants.

In terms of the overall national position, I have been advised by the Revenue Commissioners that they have received a number of reports of problems relating to petrol quality from around the country in recent weeks and that such reports are followed up as a matter of course and samples sent to the State Laboratory for analysis where officers have reason to suspect excise duty fraud.

Petrol stretching is a matter of serious concern because of the risks to the Exchequer, the threat to legitimate businesses and the damage that can be caused to the vehicles of unsuspecting purchasers of adulterated fuel. Under Section 102 of the Finance Act 1999, it is an offence to sell and/or deliver oil on which Mineral Oil Tax at the appropriate rate has not been paid.

In the normal course of work, Revenue's enforcement staff take samples of fuel, which are sent to the State Laboratory for scientific analysis, from mineral oil suppliers, including filling stations, to ensure compliance with mineral oil regulations. If the results of the analysis reveals the presence of any illegal stretching agents, I can assure the Deputy that the Revenue Commissioners will take action and pursue prosecutions against offenders where possible.

I am further advised that Revenue and the oil sector have co-operated very successfully to tackle diesel laundering and are confident that, with this co-operation and with the supply chain information available to Revenue, the problem of petrol stretching can also be tackled successfully. In this regard it is essential that petrol distributors report on any reduction in the pattern of legitimate supplies of fuel to the retail trade which may indicate that specific retailers are shifting some of their sourcing to laundered or "stretched" fuel.

In addition, motorists themselves should take care with regard to their source of petrol and report any suspicions concerning adulterated fuel which may have damaged their engines to Revenue who will investigate such reports and pursue prosecutions against offenders where possible. In that regard Revenue has recently launched a dedicated section of its website at www.revenue.ie specifically on the shadow economy and this includes an electronic reporting facility for anyone who has information about shadow economy practices such as petrol stretching.

Table 1- Complaints re suspected petrol contamination to An Garda Síochána Mayo's Division June - September 2014

Month

Claremorris District

Ballina District

June

0

0

July

1

0

August

10

0

September

59

16

Total

70

16

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