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THE Malaysian Anti-Corruption Commission (MACC) has indicated it is prepared to conduct joint investigations with the Inland Revenue Board (IRB) into potential corruption involving undisclosed offshore accounts, following revelations that nearly 15,000 Malaysians collectively hold some RM10 billion in offshore funds.
MACC Chief Commissioner Tan Sri Azam Baki told the New Straits Times that cooperation with the tax authority would depend on the IRB’s willingness to share intelligence.
“We do not know which companies are on the IRB's radar. We are willing to conduct joint investigations on corruption-related issues if the IRB is willing to share information with us,” New Straist Times cited him saying.
Azam emphasised that inter-agency collaboration is crucial to tracing the flow of suspicious funds, particularly where tax evasion intersects with corruption, abuse of power, or money laundering.
“MACC is ready to support any multi-agency effort aimed at safeguarding national revenue and strengthening financial governance,” he added.
Transparency International Malaysia president Raymon Ram urged the government to adopt a whole-of-government approach, warning that such large sums should not be treated as mere administrative non-compliance.
“Offshore secrecy is a well-known enabler of corruption, fraud, organised crime, and aggressive tax evasion. Enforcement should not stop at tax recovery.
“Where patterns suggest corruption proceeds, abuse of corporate vehicles or professional enablers, action should extend to MACC and relevant regulators,” he said.
Centre to Combat Corruption and Cronyism CEO Pushpan Murugiah said the IRB’s disclosure points to long-standing governance and integrity issues, echoing lessons from the Pandora Papers, Panama Papers, and Paradise Papers.
“Offshore secrecy isn't just about ‘tax planning’, it is a system repeatedly used to hide wealth, avoid scrutiny, and in some cases, launder the proceeds of corruption or illicit activity. Malaysia needs enforcement that is predictable, proportionate and insulated from interference,” he said.
Both watchdogs highlighted that Malaysia already has strong laws and agencies capable of tackling these issues.
“The issue is not that Malaysia lacks tools — it's whether we have the political will and institutional coordination to use them consistently.
“The IRB already has cross-border data pipelines and should follow through with audits, recovery, penalties, and coordinated financial crime investigations, not quiet settlements,” Pushpan added.
Raymon called for asset transparency mechanisms to function as a single ecosystem rather than isolated silos covering tax, anti-money laundering, countering financial terrorism, beneficial ownership, and public-sector accountability.
“Asset declaration for high-risk public roles, including ministers, MPs, senior civil servants, and GLC leadership, should be placed on a clear statutory footing with consistent coverage of spouses and dependents, meaningful audits, and enforceable sanctions,” he said.
He stressed the importance of independent verification through risk-based audits and linking asset declarations to beneficial ownership data.
“Malaysia has strengthened beneficial ownership requirements under the Companies Act 2016 framework. The next step is using that data operationally,” he said.
Pushpan also recommended publishing aggregate figures, including the number of taxpayers coming forward, tax recovered, and prosecutions carried out, to ensure transparency, accountability, and deterrence. - February 3, 2026
