'Illegal' diesel plant uncovered

Red diesel is used in off-road vehicles like tractors

A sophisticated diesel laundering plant has been discovered during a raid on a farm by Customs and Excise officers in Greater Manchester.

Fears that acid sludge and gas oil may have leaked into the water course have proved unfounded.

Customs spokesman Bill O' Leary told BBC News Online: "We estimate that it could have been processing 120,000 lites a week.

"We had to call in environmental health and the local fire brigade."

It is a heavily industrial chemical process and is often just set up in a shed or a barn

Bill O'Leary, Customs and Excise

The owner of the farm near Shaw in Oldham is in his 60s. He has been released on police bail.

The plant is supected to have processed huge amounts of gas oil, also known as red diesel, to sell it on and evade large sums of duty.

Mr O'Leary said: "It is not something that we come across every day of the week ... like tobacco smuggling. We are alert to the dangers.

"The people who are involved in this do not have the proper facilities to treat the waste, and there is a possibiltiy of damaging the environment."

Cheap fuel

Red diesel is designed to be used in off-road industrial machinery and for central heating.

An additive is put in it to distinguish it from ordinary white diesel, but launderers try to remove the colourant to produce cheap fuel.

Acids are used in the decontamination process.

"It is a heavily industrial chemical process and is often just set up in a shed on a barn," said Mr O' Leary.

"If you are offered cheap diesel, be advised that the product is not pure and can damage your engine.

"Be aware that it can make your warranty invalid if the engine is wrecked and you then take it along to your dealer."

The price difference between red diesel and legitimate white diesel is about £2 per gallon.