Digital defense: Experts say MyDigital ID can help stamp out fraudulent purchase of SIM cards. — IZZRAFIQ ALIAS/The Star
PETALING JAYA: Experts have warned that Malaysia’s weakly regulated supply chain continues to fuel rampant SIM card misuse.
They said that wider adoption of the government’s MyDigital ID could provide a safeguard against identity fraud involving SIM cards.
Universiti Malaya senior lecturer in criminology Dr Haezreena Begum Abdul Hamid said that the core problem of SIM card scams is structural, not user negligence.
“SIM card fraud in Malaysia stems from systemic regulatory weaknesses, poor enforcement and unsecured registration pathways that allow criminals to obtain phone lines anonymously.
“My analysis found that the criminals obtain pre-registered numbers which are already activated using someone else’s identity.
“These SIM cards are widely circulated in underground markets where many vendors bypass biometric or MyKad authentication steps, allowing fraudulent registrations to go unnoticed,” she said, adding that street-level dealers at night markets, train stations and malls remain a key risk factor.
“The telco subcontractors often operate with minimal supervision, enabling misuse of registration privileges,” she added.
“Dealers also sell pre-registered SIM cards already activated under someone else’s name and may operate through subcontractors with little telco oversight.
ALSO READ: No ID, no problem at some shops selling SIM cards
“SIM card registration should be tied to mandatory biometric verification and only licensed, audited vendors should be permitted to activate SIM cards.”
Haezreena also said that as long as personal information is made available, it’s easy for criminals to get MyKad information, which is reused to activate SIM cards.
“The current system does not fully track which agent registered each number, making accountability inconsistent.
“These loopholes allow criminals to operate with anonymity, which is the key enabler of scam operations.
“As a result, MyKad holders whose identities are misused may be questioned when scam numbers are traced to them.
“Even if they did nothing wrong, they may still be investigated and asked to explain SIM cards they were unaware of,” she said, calling the situation unfair, particularly for vulnerable groups.
Echoing the same view, Malaysian Cyber Consumer Association (MCCA) president Siraj Jalil said the core problem lies with those supplying illegally pre-registered SIM cards, including SIM card agents.
“The moment you hand over your MyKad to someone else (third parties) to register a SIM card for you, the process can be exploited,” he said.
Siraj also highlighted the involvement of foreign sellers in the illegal SIM card trade, adding that stronger regulation is needed at the agent and street dealer level.
He urged consumers to adopt MyDigital ID, saying it helps detect unauthorised phone numbers linked to one’s MyKad.
“Telcos are also supposed to be aligned with MyDigital ID,” he said, adding that regulation should extend to agents and street-level dealers.
Siraj said that registered SIM cards sold online are further complicating enforcement efforts.
He said that the issue should also be viewed from a foreign digital identity systems point, as foreigners are part of the mobile subscriber ecosystem.
Meanwhile, Federation of Malaysian Consumers Associations (Fomca) chief executive officer Dr Saravanan Thambirajah advised consumers to avoid purchasing SIM cards from street vendors or online listings that offer pre-registered or unusually cheap SIM cards.
“These can be linked to illegal registrations and scam activities,” he said, adding that public awareness must be strengthened alongside enforcement.
