The Johor mega development project Forest City, often labelled a "ghost city", has a new talking point.

Unfortunately for the people involved, the source appears to be the illegal trade of dutiable items.

Ghosting

Forest City is a mega development project located on reclaimed land in the south of Johor, near the Second Link bridge between the Malaysian state and Singapore.

It has encountered numerous troubles in recent years, with low take-up rates, many disappointed investors, and the project largely sitting empty in recent years.

The project however retains the backing of the Johor and federal governments, with the implementation of a duty-free zone within the development being one tool used to try to increase its popularity.

The development has 10 duty-free stores which are allowed to sell alcoholic beverages, cigarettes, and chocolates in limited quantities to visitors and residents of Forest City.

However, the New Straits Times has reported that individuals are smuggling duty-free items out of the zone, and selling them for significant markups after being alerted to the practice.

Pictures in NST's report appear to show personal vehicles being used to smuggle large amounts of beer from the development.