Many landlords in Malaysia were exposed to "electricity theft and mining"! The electricity bill exceeds NT$2 million, and selling the house is not enough to pay it back

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According to the Malaysian media report, Ms. Wei, a homeowner in Seri Kembangan, Malaysia, along with several others, held a press conference on October 21 accompanied by Selangor State Assemblyman Wong Tian Rong, stating that she and several other homeowners had rented out their homes to tenants who engaged in cryptocurrency mining activities, resulting in the National Energy Company (TNB) demanding huge electricity bills.

National Energy Company Demands Huge Electricity Bills

According to Ms. Wei, she rented out her double-story terrace house in Seri Kembangan last July for a monthly rent of 900 Malaysian Ringgit (about NT$6,600) to a Chinese tenant, but after only two months, the house was raided by TNB officials, and the tenant stopped paying rent and disappeared, leaving Ms. Wei facing a staggering electricity bill of up to 260,000 Ringgit:

In August last year, I was notified by my neighbor that my house had been raided by TNB officials and the police, and when I went to check, I found that the tenant had been using the house for illegal electricity theft and cryptocurrency mining.

Furthermore, Ms. Wei said she received a letter from TNB in February this year, stating that she owed up to 260,000 Ringgit in electricity bills, with the calculation period starting from 2021 to 2023, which Ms. Wei felt was very unfair:

My house was only used for electricity theft and mining for two months, and I am also a victim, but TNB is calculating the electricity bills from 2021, which is completely illogical, like rubbing salt into the wound.

Selling the House is Not Enough to Pay the Electricity Bill

Similarly, another homeowner, Ms. Lin, stated that this was her first time renting out a house, but she had only received 5,000 Ringgit in rent over 5 months, and yet she was being demanded by TNB to pay 276,000 Ringgit (about NT$2.01 million) in electricity bills:

I bought this double-story terrace house for 298,000 Ringgit in 2013, but now TNB is demanding 276,000 Ringgit in debt, and even if I sell the house, after deducting the bank mortgage, it still won't be enough to pay the electricity bill.

Ms. Lin further explained that her house was rented out to an Indian tenant in June last year, but the mining activities caused high temperatures in the house and a fire hazard, leading the tenant to stop paying rent and disappear:

My house was exposed because the mining activities caused the indoor temperature to be too high and triggered a fire hazard, and since then the tenant has stopped paying rent and disappeared.

Councilor Wong Tian Rong: There Have Been More Than 20 Similar Incidents in the Past Few Months

In addition to Ms. Wei and Ms. Lin, Councilor Wong Tian Rong also added that in the past few months, he has received more than 20 similar cases where tenants' electricity theft for mining has resulted in huge electricity bill debts for homeowners, with the highest amount demanded by TNB exceeding 800,000 Ringgit, and the lowest being 20,000 Ringgit.

Wong Tian Rong pointed out that in these victim cases, although the homeowners had signed rental agreements, there were no witnesses present at the time of signing, and the electricity meter account was not transferred to the tenant's name after the house was rented out, leading to these disputes:

Without changing the electricity meter account holder's name, if illegal electricity theft is discovered, TNB has the right to demand the electricity bills from the meter account holder.

If there were witnesses present at the time of signing the contract, it could be used as evidence to prove the existence of the tenant in the rental agreement.

Finally, Wong Tian Rong pointed out that mining activities are not illegal under Malaysian law, but electricity theft for mining is illegal, so TNB will only take action against the electricity meter account holder, not the tenant, and TNB generally will not cancel the demand for electricity bills.

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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