[UPDATED] Bank Negara to mandate ‘kill switch’ to allow scam victims to freeze accounts

KUALA LUMPUR – As crimes involving online fraud and scams are getting worse, Bank Negara will enforce a “kill-switch” policy for all banking institutions.

This will enable account holders to take immediate action themselves by freezing their own accounts – including ATM cards – if they are affected by activities that are suspicious.

For the year 2022 alone, more than 25,000 of such crimes were recorded with a loss of RM850 million, Prime Minister Datuk Seri Anwar Ibrahim said.

Although the government has set up a National Scam Response Centre (NSRC), there is no uniform policy yet to deal with this issue because every banking institution has its own respective guidelines.

A total of RM10 million has been allocated to strengthen the role of NSRC.

Anwar said this when tabling of the revised version of Budget 2023 in the Dewan Rakyat today.

Reprieve for bankruptcy cases

He also announced that people who are declared bankrupt are entitled to and will be given a second chance.

“The government will amend the Insolvency Act 1967 so that bankruptcy cases can be released automatically in a short time.

“Pending the amendment, small-scale cases that owe less than RM50,000 who meet the conditions will be released (from bankruptcy) immediately starting March 1.

“The government aims to release 130,000 people from the bankruptcy status with the passing of the amendment.”

“As of January (2023), more than 260,00 bankruptcy cases had been recorded, including our youngsters, the majority of whom are Malays who have potential to contribute to the national economy,” he said. 

Anwar also mentioned giving a second chance to prisoners.

To facilitate their reassimilation into society, prisoners will continue to be given sufficient training through the skills programme for inmates.

Employers are also encouraged to hire ex-prisoners, and former inmates of Henry Gurney School.

“The agro-prison programme for prisoners engaged in agricultural activities carried out on 70 hectares of prison land will continue to be strengthened with an allocation of RM10 million,” he added. – The Vibes, February 24, 2023