Two suspects on bail over alleged counterfeit Caltex, Delo engine oil trade

Two suspects allegedly involved in the manufacture, distribution, and sale of counterfeit lubricant products bearing the Caltex and Delo brands, in violation of the Intellectual Property Act, were released on bail after being produced before the Mawanella and Kegalle Magistrates’ Courts.

An anti-counterfeiting operation led by the Colombo Crimes Division (CCD) has resulted in the seizure of a large quantity of suspected counterfeit engine oil bearing the Caltex and Delo brands during coordinated raids in Mawanella and Kegalle.

The raids, conducted on June 2, 2026, targeted two retail establishments—SF Marketing in Mawanella and J.W. Auto in Kegalle—suspected of dealing in counterfeit lubricant products.

Sudath Perera Associates appearing on behalf of the complainant company, one of the world’s leading energy companies convinced courts that sale, possession, manufacture, and distribution of counterfeit goods are criminal offences under the Intellectual Property Act No. 36 of 2006. Such activities not only inflict financial losses and reputational damage on brand owners but also expose unsuspecting consumers to inferior products falsely marketed as genuine.

Following the complaint, search warrants were issued by the Magistrate’s Court of Mawanella, presided over by Judge U.L.W. Ahamed, and the Magistrate’s Court of Kegalle, presided over by Judge Mohammed Faiz Zammuth Jahan.

During the raid at J.W. Auto, CCD officers recovered four partially filled barrels—one bearing the Delo brand and three bearing the Caltex brand—containing engine oil allegedly being sold at substantially reduced prices. All four barrels were seized as part of the investigation.

The operation at SF Marketing led to more extensive discoveries. After questioning individuals at the premises, investigators were directed to three additional locations believed to be linked to the alleged operation. Searches conducted at these sites resulted in the recovery of a larger stockpile of Caltex and Delo-branded barrels suspected to contain counterfeit lubricants.

Both accused individuals have been released on surety bail of Rs. 10 million each and have been ordered to appear before the respective courts as directed.

It was transpired in courts that counterfeit lubricants pose serious risks to consumers, vehicles, and the environment. Unlike genuine products that undergo rigorous quality assurance and testing, counterfeit engine oils may contain contaminated or substandard substances capable of causing premature engine wear, mechanical failures, increased emissions, and costly repairs. In severe cases, the use of counterfeit lubricants may also compromise vehicle safety and operational reliability.

Further magisterial inquiry fixed for November 2.