Deputy Finance Minister, Lim Hui Ying, revealed in the Dewan Rakyat that a total of 497 entities have been listed in Bank Negara Malaysia’s (BNM) Financial Consumer Alert List as of 2023.
This list serves to identify companies and websites operating without proper authorization under the laws and regulations administered by the central bank.
During a question-and-answer session, Lim addressed concerns raised by Pekan MP Datuk Seri Sh Mohmed Puzi Sh Ali regarding BNM’s efforts in detecting and recovering assets from investment fraud, Ponzi schemes, and online scams.
She explained that monitoring and enforcement actions are carried out by various agencies depending on the nature of the offense within their respective jurisdictions.
BNM collaborates with foreign authorities to analyse fund movements and investigate fraudulent activities and illicit financial schemes conducted abroad.
Additionally, the central bank works with the Securities Commission Malaysia (SC), other enforcement agencies, financial institutions, and the National Anti-Financial Crime Prevention Centre (NFCC) to enhance enforcement actions against investment fraud syndicates through information sharing and tracking illicit fund flows.
Lim highlighted that criminals involved in money laundering can face imprisonment, and assets obtained through illicit activities can be confiscated under the Anti-Money Laundering, Anti-Terrorism Financing, and Proceeds of Unlawful Activities Act 2001 (AMLA).
The SC has seized cash amounting to RM116 million between 2021 and 2023 as part of its efforts to combat financial fraud.
Furthermore, she mentioned that major banks have implemented five important measures by June 2023 to enhance fraud detection and prevention.
These measures include transitioning to a more robust verification method, enhancing fraud detection regulations, limiting registration to one mobile device, and providing a dedicated complaint channel for customers.
In addition to BNM’s efforts, the SC has taken various actions against financial fraud, including imposing penalties, adding companies to the Investor Alert List, issuing cease and desist notices, making police reports, and cooperating with authorities to block fraudulent websites and social media accounts.
