Malaysia

Private sector retiree loses RM2.25 million in failed investment scheme

Total losses suffered by victims are estimated at RM104.9 million

Updated 11 months ago · Published on 24 Nov 2025 5:31PM

Private sector retiree loses RM2.25 million in failed investment scheme
Victim was attracted by packages promoted through an agent with the title ‘Datuk’ and reportedly led by an influential figure in the religious sector - November 24, 2025

A FORMER private sector employee has been left financially devastated after RM2.25 million of his savings vanished when a company offering property-linked shares and Shariah-compliant redeemable shares (i-RPS) allegedly failed to honour promised dividend payments.

Azmi, 55, from Johor, who wished to be identified only by his first name, said he had expected to enjoy his retirement.

Instead, having invested his entire savings—including funds from Tabung Haji and the Employees Provident Fund—he has been forced to return to work to support his family.

“Most victims are retirees. We hope the authorities will investigate this matter and take appropriate action against those responsible,” he said.

He joined the investment programme in November 2022, attracted by packages promoted through an agent with the title ‘Datuk’ and reportedly led by an influential figure in the religious sector with the title ‘Tan Sri’.

Dividends of 15 per cent were initially paid, and Azmi received seven payments before the distributions stopped last year.

Azmi was among approximately 276 victims who submitted complaint letters to the Malaysian Anti-Corruption Commission (SPRM) in a gathering here today.

The submission was led by Datuk Hishamuddin Hashim, Secretary-General of the Malaysian Humanitarian Organisation (MHO).

According to sources, the total losses suffered by victims are estimated at RM104.9 million.

Hishamuddin said the company involved was not registered as a legitimate entity and allegedly redirected investors’ funds to other parties without their knowledge. “We request an investigation under Section 18 of the Malaysian Anti-Corruption Commission Act against those responsible to prevent this issue from continuing,” he said.

MHO has previously lodged reports with authorities, including the Royal Malaysia Police, Companies Commission of Malaysia, Attorney General’s Chambers, and Bank Negara Malaysia.

 It is believed that almost 1,000 individuals have fallen victim to the scheme, which is alleged to have defrauded investors by misappropriating their capital.

Azmi expressed deep disappointment at how the scheme derailed his retirement plans. “I had hoped to enjoy my golden years, but my life has been turned upside down. It is heart-wrenching to see years of savings disappear,” he said. - November 24, 2025

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