An oil laundering operation was discovered by Customs officials in Dundalk yesterday. Some 2,000 gallons of oil were seized at a storage yard on the northern outskirts of the town along with a lorry, an oil tanker and chemicals. The owner of, the plant was being questioned by Customs officials.
In such operations, dyes which determine the level of duty to be paid on the fuel are removed. A green dye is used in the Republic and a red dye in the North. By removing the colouring and selling the fuel as white petrol, the operators can avoid paying duty.