TULUNGAGUNG – A major subsidized LPG fraud case has been uncovered in Tulungagung after police seized about 1,300 gas cylinders and detained two suspects accused of diverting government-subsidized fuel for illegal commercial sales.

The case emerged after residents reported shortages of three-kilogram LPG cylinders, widely known as melon gas, in several districts. Complaints spread quickly on social media and later drew broader public attention.

Ihram Kustarto, chief of Tulungagung Police, said officers first traced the shortage after receiving repeated public reports.

“We received early information from residents about the shortage of 3-kilogram LPG in Tulungagung. Those complaints also circulated widely on social media,” he said during a press briefing.

Police found that shortages hit three districts hardest: Ngunut, Rejotangan, and Ngantru. Investigators later uncovered an illegal transfer operation involving subsidized cylinders.

According to police, the suspects bought subsidized three-kilogram cylinders outside permitted distribution zones. They then transferred the gas into 12-kilogram non-subsidized cylinders and sold it for profit.

“The suspects purchased 3-kilogram LPG in violation of zoning rules, then injected the gas into 12-kilogram cylinders for commercial sales,” Ihram said.

Officers confiscated around 1,300 cylinders, including both subsidized and non-subsidized containers. Investigators also seized equipment used to transfer gas between cylinders.

Police said the practice directly harmed low-income households because the subsidy program targets vulnerable consumers. Each transferred cylinder generated an estimated profit of around Rp150,000.

Ihram said investigators believe the operation had run for about four years. However, activity increased sharply in the last three months and contributed to wider shortages.

The suspects now face charges under Indonesia’s oil and gas law, which carries a maximum sentence of six years in prison and fines of up to Rp60 billion.

Gatut Sunu Wibowo praised the police operation and said local authorities will tighten supervision with Pertamina to prevent similar abuse.

He said stronger monitoring is necessary to ensure subsidized LPG reaches eligible households and to prevent future supply disruptions.