KUALA LUMPUR, July 25 — The Bukit Aman Commercial Crime Investigation Department (CCID) has recommended stricter business registration procedures with enhanced Know Your Customer (KYC) verification for companies, especially concerning their board of directors, administrators, and company secretaries.
Its director Datuk Seri Ramli Mohamed Yoosuf said their recommendation comes after the identification of mule accounts as a key factor in scams and frauds occurring nationwide, leading to billions of ringgit in losses.
“To date, there has been no specific legislation to enforce actions against the use of mule accounts, allowing them to persist in fraudulent activities.
“Therefore, the recently approved Penal Code (Amendment) Bill 2024 and Criminal Procedure Code (Amendment) Bill 2024 are a much-needed development to empower investigations.
"The Royal Malaysia Police believes that once enacted, these laws will become an effective mechanism in addressing the use of mule accounts, thereby reducing the incidence of fraud," he said during the CCID’s weekly press conference today.
Ramli added that the amendments add several new provisions, including Sections 424A, 424B, 424C, and 424D of the Penal Code, pertaining to offences related to mule accounts, including possessing, controlling, handing over, and using ATM cards, credit cards, e-wallets, and other payment instruments.
"Additionally, the amendments to the Criminal Procedure Code will include the introduction of Section 116D, which will authorise police officers of at least the rank of sergeant to seize or block transactions related to financial dealings," he said.
Meanwhile, Ramli also advised the public to be wary of investment offers on social media that seem ‘too good to be true’, saying that many Telegram schemes are fraudulent and result in victims suffering significant losses.
In a Facebook post yesterday, Communications Minister Fahmi Fadzil said that online crime is a grave concern. The trend indicates that traditional crimes have begun to migrate to cyberspace, including social media.
He had received briefings on the issue from National Security Council director-general Datuk Raja Nurshirwan Zainal Abidin, Bukit Aman Criminal Investigation Department director Datuk Seri Mohd Shuhaily Mohd Zain, and a CCID deputy director.
Fahmi also previously noted the need to consider new legislation addressing online crime to keep pace with rapid technological advancements.
— Bernama
