A few bad hats do not warrant the limiting of scrap metal trader's license, said Police Watch and Human Rights Committee in a statement today.

Its secretary S Manikavasagam said there were an estimated 1,000 scrap metal traders in Selangor and limiting the amount of such licenses would severely affect the livelihood of the industry's estimated 3,500 workers.

"Only a few (traders) are involved in trading stolen property. Why should the rice bowl of others be disturbed?" said Manikavasagam.

He was commenting on the Selangor government's directive to local authorities for the reduction in the number of scrap metal dealers.

This was aimed at controlling illegal activities in the trade such as the purchase of stolen metal material.

Recycling

The Subang Jaya Municipal Council (MPSJ) for example will be scaling down scrap metal trader license to 25, which would leave more than 100 others having to cease operations.

Manikavasagam argued that the state government should license all present scrap metal traders because they were crucial in the country's recycling efforts.

"Their involvement in this industry has also contributed to the nation's economy as they are involved in exporting (the materials) overseas," he added.

Among the biggest complainants on the scrap metal trade was national utility company Tenaga Nasional Berhad, who claimed that it had lost up to RM800,000 over the past two years from scrap metal theft in Subang Jaya alone.