ARUNACHALA Research & Consultancy Sdn Bhd (ARRESCON) has warned migrant workers that involvement in Malaysia’s illicit cigarette trade could result in severe criminal and immigration consequences under existing laws.

The warning follows increasing reports of foreign nationals being recruited into illicit cigarette distribution and smuggling networks, often for low wages and high-risk tasks.

ARRESCON principal consultant R. Paneir Selvam said syndicates frequently treated workers as disposable, but stressed that Malaysian law imposed liability on every individual involved in illegal operations.

“Anyone involved in the illicit cigarette trade can face arrest, prosecution, imprisonment, deportation, and long-term immigration consequences under Malaysian law, regardless of their role in the operation,” he said in a statement.

Paneir Selvam noted that recent enforcement operations had shown migrant workers were often detained during raids linked to illicit cigarette activities.

He cited a recent case in Sungai Buloh, where four foreign workers aged between 21 and 38 were arrested while unloading cartons of contraband cigarettes from a lorry.

Under Section 135(1)(d) of the Customs Act 1967, possession of uncustomed goods, including illicit cigarettes, carries a minimum fine of RM100,000 or a minimum jail sentence of six months for first-time offenders.

**Arunachala Research & Consultancy Sdn Bhd principal consultant R. Paneir Selvam**

Repeat offenders may face a minimum fine of RM200,000 and imprisonment ranging from six months to seven years.

For smuggling offences under Section 135(1)(a) of the same Act, offenders may also face fines based on the value of unpaid customs duties and custodial sentences of up to five years for repeat offences.

“For many migrant workers, these penalties are financially impossible to pay. As a result, imprisonment is highly likely upon conviction, even for those carrying out lower-level tasks within the supply chain,” Paneir Selvam said.

He added that workers should not expect employers or syndicates to settle fines on their behalf, as Malaysian law treated each individual as personally liable for offences committed.

ARRESCON also highlighted the immigration consequences faced by foreign nationals involved in illegal commercial activities.

Under Section 6(3) of the Immigration Act 1959/63, individuals found misusing their permits or passes to engage in unlawful activities may face fines, imprisonment, whipping, deportation, and possible blacklisting from re-entering Malaysia.

Paneir Selvam further stressed that workers acting under instructions were not exempt from prosecution.

Under Sections 107 and 108 of the Penal Code, individuals who assist or facilitate an offence may face the same punishment as the main offenders.

“Many workers believe they are protected because they are merely following instructions or performing minor roles. However, Malaysian law allows enforcement action against every individual involved,” he elaborated.

He added that enforcement agencies were actively applying existing laws against illicit cigarette activities and urged migrant workers to fully understand the risks before becoming involved in such operations. ‒ May 12, 2026

Main image: Bernama

The post ARRESCON warns migrant workers of harsh penalties for illicit cigarette trade first appeared on Focus Malaysia.