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POLICE have cautioned that scam syndicates may increasingly turn to smaller and less regulated digital platforms following the enforcement of the Online Safety Act (ONSA) on Jan 1, even as mainstream social media remains central to their operations.
Federal Commercial Crime Investigation Department director Datuk Rusdi Mohd Isa said the legislation’s licensing requirement applies only to platforms with at least eight million users in Malaysia, leaving smaller services potentially vulnerable to exploitation.
"The threshold focuses on platforms with the biggest reach and the greatest impact on society.
"Licensing will subject them to security obligations, compliance audits and corrective action if risks are not properly manage,” News Straits Times reported him saying.
Despite this, he said syndicates are unlikely to abandon major platforms, which continue to serve as the primary channel for approaching victims.
"These platforms are often used to approach victims, while smaller or more obscure platforms tend to be used internally within syndicates for coordination."
Rusdi described the law as a significant shift in enforcement strategy, placing greater responsibility on technology companies to detect and prevent harmful or fraudulent content before crimes occur.
Unlike traditional legal frameworks, which are activated after offences are committed, the Online Safety Act requires platforms to adopt risk-based safety measures aimed at preventing scams at source.
"Platforms are also be required to provide effective reporting mechanisms and assistance channels for users, allowing faster action against suspicious accounts and fraudulent content."
He said the law would work alongside existing provisions under the Penal Code, the Communications and Multimedia Act and anti-money laundering legislation, strengthening the overall enforcement framework.
Police are also intensifying digital intelligence monitoring and working closely with the Malaysian Communications and Multimedia Commission (MCMC) and other agencies to track emerging platforms exploited by criminal networks.
Rusdi stressed that cooperation from technology firms is vital, particularly in tackling cross-border syndicates involved in call centre scams and investment fraud.
"Data logs, account information and swift account suspensions can disrupt the operational chain of syndicates, especially those operating across jurisdictions."
The Online Safety Act is designed to strengthen oversight of online platforms and curb harmful content, including scams and cyberbullying, by imposing a legal duty on providers to proactively manage risks.
Licensed platforms must comply with regulatory directives, with enforcement carried out by the Malaysian Communications and Multimedia Commission, which has the authority to impose penalties or revoke licences for non-compliance.
Separately, police data indicate that nearly one in 10 public checks on suspicious bank accounts has revealed links to scam activity, underscoring the scale of the threat.
Since its launch on Oct 7, 2020, the Semak Mule portal has recorded more than 30.5 million queries, with 3,005,296, or 9.8 per cent, returning positive matches from a database of 326,009 flagged accounts.
"This means nearly one in 10 checks involved an account associated with scam activities," Rusdi said.
The platform allows users to verify bank accounts, phone numbers and companies before making financial transactions, serving as a frontline defence against fraud.
Its database also includes 251,484 phone numbers and 9,845 companies linked to commercial crime investigations.
"From a strategic standpoint, this not only reduces financial losses among the public but also disrupts the payment flow of syndicates by preventing funds from reaching mule accounts."
Rusdi said while syndicates frequently rotate mule accounts, newly identified ones are swiftly added to maintain the system’s effectiveness.
As of Jan 31, the portal has drawn 38.4 million visitors, reflecting its growing role in national anti-scam efforts.
He added that Semak Mule complements broader initiatives such as the National Scam Response Centre as part of a coordinated strategy to combat commercial crime. - March 25, 2026