Police have detained a Chinese ship allegedly carrying ordnance and scrap metal stolen from British war graves in Malaysia.

Officials from the Malaysian Maritime Enforcement Agency (MMEA) pounced on the China-registered vessel when it anchored in Malaysian waters in east Johor without permission on May 29.

The ship was located around 20 nautical miles off Tanjungsiang and is believed to have been involved in illegal salvaging operations desecrating the British WWII vessels HMS Repulse and HMS Prince of Wales.

The battleships were sunk by aerial attacks from the Nazi-allied Japanese in December 1941 - leaving 840 Royal Navy sailors dead - and have laid at the bottom of the ocean in a protected area ever since. However, they have repeatedly been targeted by scavengers from Communist China.

In a statement, Johor Maritime Director First Admiral Nurul Hizam Zakaria said: 'When inspected, the crew failed to present any anchoring permission from the Marine Department director-general.

'The vessel was manned by 32 men including the captain. The crew comprised 21 Chinese nationals, 10 Bangladeshi nationals and a local. They were aged between 23 and 57 years.

'Further checks found that there were scrap metal and artillery shells allegedly linked to the unexploded ordnances case at Tanjung Belungkor on May 19.

'The case will be investigated under Section 491B(1)(L) of the Merchant Shipping Ordinance 1952 which provides for a fine not exceeding RM 100 thousand, imprisonment not exceeding two years, or both.

'Maritime Malaysia will also work with the Royal Malaysian Police (PDRM), the Malaysian Marine Department and the National Heritage Department to identify the ammunition found on board the vessel suspected to be from World War II.'

The alleged Chinese scavengers have sparked fury in recent weeks as they were seen on video reportedly raiding the British war graves to pillage precious scrap metal.

The British High Commission has condemned the 'deplorable' salvors who they said were unlawfully desecrating the war graves. Malaysian authorties have also launched an investigation.

Chief of Johor Police Datuk Kamarul Zaman Mamat said: ‘An investigation has been started and it is still in process. British authorities have been informed as part of the investigation.'

The HMS Repulse and HMS Prince of Wales sank in the South China Sea in 1941 during the Japanese invasion of Malaya.

The destroyers Electra and Vampire rescued survivors of Repulse, while Express saved those aboard the Prince of Wales. A total of 840 sailors - 513 in Repulse and 327 in Prince Of Wales - were killed.