During a recent parliamentary session, Datuk Sri Sh Mohmed Puzi Sh Ali (Pekan) directed a query regarding the effectiveness of Bank Negara Malaysia (BNM) in combating financial fraud and online scams. In response, the Deputy Finance Minister, Steven Sim Chee Keong, provided insights into BNM’s proactive measures and collaborative efforts with other agencies.
Sim emphasised BNM’s pivotal role in setting stringent requirements for banks to ensure the highest level of security and control, particularly in internet and mobile banking services.
He highlighted BNM’s announcement in September 2022, which outlined five key steps implemented by major banks to enhance security standards.
These steps include accelerating the adoption of stronger authentication methods for online transactions, tightening fraud detection regulations, imposing cooling-off periods for first-time online banking registrations, restricting customers to a single device for transaction verification, and establishing dedicated hotlines for reporting online fraud cases.
Furthermore, Sim commended BNM’s proactive stance in curbing financial fraud and online scams, noting the agency’s collaboration with other regulatory bodies and law enforcement agencies.
He mentioned the Securities Commission Malaysia’s (SC) efforts in 2023, which included administrative actions, penalties, and warnings to investors, along with cooperation with local and international authorities to block fraudulent websites and social media accounts.
Sim emphasised the collaborative approach among various agencies, including the Royal Malaysia Police (PDRM), the Ministry of Domestic Trade and Consumer Affairs (KPDN), the Companies Commission of Malaysia (SSM), and the SC, in monitoring and addressing investment fraud and online scams.
He also highlighted the establishment of the National Scam Response Center (NSRC) to swiftly respond to financial fraud cases and ensure effective enforcement actions against perpetrators.
Additionally, Sim reiterated the government’s commitment to combatting financial fraud and online scams through enhanced enforcement measures and strategic partnerships.
He emphasised BNM’s role as a key regulator and its collaboration with other agencies to safeguard investors and maintain the integrity of the financial system.
