Malaysia has seen a surge in sophisticated online scams this year, with reported losses reaching RM2.7 billion from January to November, according to the Royal Malaysia Police (PDRM) and Commercial Crime Investigation Department (CCID).
The total stems from over 67,735 online crime cases, up from RM1.6 billion in 2024, with experts warning that underreporting could inflate true losses to as much as RM54 billion, roughly 3% of GDP. Young adults aged 21–30 were the most affected and 62% of victims reported severe mental distress, according to the Global Anti-Scam Alliance (GASA).
Authorities have arrested over 2,100 suspects and seized RM11.6 million in assets, while more than 800 Malaysians have been detained abroad in scams linked to forced labour operations in Myanmar and Cambodia.
Telecommunications Scams: Largest in Volume
Telecom fraud, including Macau scams, voice phishing and impersonation schemes, led in cases with 28,698 incidents and RM715 million in losses. Scammers posed as officials from PDRM, Bank Negara Malaysia and health authorities.
AI-powered scams, including deepfakes and voice cloning, accounted for over 450 cases, causing RM2.72 million in losses alone. Victims included a Kuala Lumpur resident defrauded of RM3,000 and a Penang housewife who lost RM4,800. Even a deepfake video of Johor Sultan Ibrahim Iskandar circulated, though without reported losses.
Enforcement: August raids in Bangsar South, Kuala Lumpur, led to 400 arrests at international call centers, while September operations in Subang Jaya, Rawang and Hulu Selangor resulted in 39 arrests. INTERPOL’s HAECHI VI operation recovered USD 439 million globally, including Malaysia-linked cases.
Investment Scams: Billion-Ringgit Schemes Collapsed
Investment fraud caused RM1.37 billion in losses across 9,296 cases, over half of Malaysia’s total scam damages.
High-profile case: The MBI International Group Ponzi scheme, run by Tedy Teow Wooi Huat (aka Zhang Yufa), had assets seized worth RM3.17–6.64 billion under Operation Northern Star, defrauding millions in Malaysia and China.
Arrests included 17 high-profile individuals and assets confiscated included 477 properties, luxury vehicles, a hotel and durian plantations. Joint operations with Singapore and Hong Kong recovered USD 225 million, with 850 suspects investigated.
E-Commerce and Online Fraud
E-commerce scams totalled 14,881 cases, costing RM123.7 million, peaking during sales events like 11.11. Non-delivery schemes on platforms, including Meta-linked scams, contributed to RM248 million in losses from 2023–2025. In November, a Malaysian woman was arrested in Singapore for syndicate links and MCMC removed over 170,000 fraudulent posts.
Romance Scams
Romance fraud, including “pig butchering” schemes, caused RM43–43.7 million in losses across 977–978 cases. Victims included a Penang factory manager defrauded of RM300,000, a delivery driver losing RM150,000 and a 67-year-old woman losing RM2.2 million over a decade. Raids targeted luxury call centres: 13 arrests in Kajang and 4 in Melaka. Over 750 Malaysians were rescued from Myanmar and Cambodia scam compounds.
Part-Time Job and Loan Scams
Job scams surged 146%, with 8,484 cases causing RM202.58 million in losses. Non-existent loans added RM59.1 million. Victims included an architect assistant who lost RM70,000, often recruited into overseas scam operations.
Transnational Networks
Cross-border syndicates trapped 100,000–120,000 victims in forced labour. US sanctions targeted networks responsible for USD 10 billion in losses, while Thailand and Taiwan seized USD 300 million and USD 150 million, respectively. A Malaysian “scam boss” was arrested in Thailand in December.
Operations included 40 syndicates busted, 426 arrests and RM19 billion blocked, alongside Microsoft’s global block of USD 4 billion in scam attempts.
Other Notable Cases
- Kuching WhatsApp scam: Victim lost RM2.27 million to fake stock investment MLK1.
- Seremban online platform CDT MAX: Loss of RM1.45 million.
- Pensioner crypto scam: Over RM1.2 million lost.
- Muar phone scam: Retiree defrauded of nearly RM400,000.
- Sarawak recorded RM45 million lost over 10 months across multiple scam categories, including phishing and online shopping.
Calls to Action
Authorities emphasise vigilance: verify identities, use two-factor authentication and report scams to the National Scam Response Centre (997). Experts warn the epidemic shows no signs of slowing in 2026, calling for tighter AI regulations, cross-border cooperation and consumer protection.
