Malaysia

Foreign nationals warned against abusing work permits for illegal businesses

Immigration warns that both foreign nationals operating illegal businesses and locals who abet them may face stern legal action under immigration laws

Updated 1 year ago · Published on 28 May 2025 9:01AM

Foreign nationals warned against abusing work permits for illegal businesses
Modus operandi used to avoid detection by authorities often involves renting business licences from locals at exorbitant rates May 28, 2025

FOREIGN nationals in Malaysia have been cautioned not to misuse valid work permits to engage in unauthorised business activities, according to the Director-General of Immigration, Datuk Zakaria Shaaban.

“The modus operandi employed to avoid detection by authorities often involves renting business licences from locals at exorbitant rates,” Zakaria revealed.

He added that most of these businesses include convenience stores, food and beverage stalls, mini supermarkets, furniture shops, night markets, farmers' markets, wholesale markets, fruit stalls and street vendors.

“Many of these foreigners are involved in running their own shops, including computer and mobile phone repair services, motorcycle workshops, eateries, clothing retail and night market stalls,” he said during an interview.

A recent survey by Harian Metro across various housing areas and shopping centres found a significant number of foreign nationals – particularly from Pakistan, Bangladesh and Indonesia – engaged in personal business ventures.

Zakaria stressed that foreigners found operating unauthorised businesses may be prosecuted under the Immigration Act 1959/63 and the Immigration Regulations 1963.

“Not only are foreign nationals liable to punishment, but locals who collude with them may also be charged under Sections 55B, 55E and 56(1)(d) of the Immigration Act 1959/63,” he warned. - May 28, 2025

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