Scams - A national crisis as online offense surge

ONLINE scams in Malaysia have escalated from mere digital nuisances to a full-blown national crisis, threatening not only the country’s economic stability but also public safety and citizens’ well-being.

Annual losses from online fraud exceed RM1 billion, a figure likely conservative due to widespread underreporting, with victims spanning all walks of life – from housewives and students to retirees, civil servants, and high-profile entrepreneurs.

The consequences extend far beyond financial damage, eroding peace of mind, personal dignity, self-confidence, and trust in the nation’s digital infrastructure.

Concerns have been raised over certain telecommunications companies that, rather than bolstering network security comprehensively, focus on offering paid scam-protection services.

“Scammers themselves are network users contributing revenue to telcos, raising questions about potential conflicts of interest,” an observer noted.

The recent establishment of the National Scam Response Centre (NSRC) under the Royal Malaysian Police is viewed as a positive development.

However, experts insist that Malaysia requires a preventive and integrated approach to tackling the menace.

The Malaysian Communications and Multimedia Commission (MCMC), empowered under Sections 55 and 56 of the Communications and Multimedia Act 1998, has the authority to set mandatory technical standards, enforce automated call and SMS-blocking systems, and ensure such protections are provided to consumers at no additional cost.

The analysis calls on the federal government to make network security a national priority rather than a commercial offering.

It urges the introduction of stringent penalties for providers failing to comply with mandated safety standards and insists on a shift towards consumer-first policies.

“The public has endured long enough. They need decisive action and immediate solutions,” it warns.

“Scams are no longer merely a personal issue for victims. They are a national concern.

“Without significant reform, Malaysia risks losing not only money but also trust in its digital ecosystem,” the observer, who declined to be named, said while emphasising the urgency of comprehensive national safeguards. - November 12, 2025