PETALING JAYA: The Registrar of Societies (ROS) is reviewing the need to improve the legal framework, including proposals for specific guidelines and independent audit mechanisms for organisations that collect public funds on a certain scale.
ROS director-general Datuk Mohd Zulfikar Ahmad said the effort was part of the continuous improvements made to the Societies Act 1966.
"We take note of media reports currently circulating regarding allegations of fund misappropriation involving a non-governmental organisation (NGO) amounting to millions of ringgit, which has also been linked to influential individuals on social media.
"These reports have raised public concern over the transparency and integrity of donation fund management by registered organisations," he said.
Mohd Zulfikar emphasised that ROS remained committed to carrying out its regulatory functions transparently, with integrity, and in accordance with the provisions of the Societies Act 1966 (Act 832) as well as the constitution of each registered organisation in Malaysia.
He said ROS monitored the management of organisational funds through compliance requirements such as maintaining complete financial records, presenting financial statements at annual general meetings and submitting documents to the department when requested.
On enforcement, Zulfikar said ROS took action based on complaints, non-compliance, or violations of applicable laws.
"Actions that may be taken include warnings, compliance notices, deregistration of organisations, and referrals to other enforcement agencies such as the Royal Malaysia Police and the Malaysian Anti-Corruption Commission if elements of offences under related laws are found."
As of March 31, 2026, he said ROS had received a total of 314 complaints related to allegations of fund misuse involving registered organisations over the past five years.
"During the same period, 21,013 organisations had their registrations revoked between 2019 and 2026 for various offences, including non-compliance with legal provisions."
He also stressed that any fundraising activities must be carried out in an orderly, transparent manner and in compliance with legal provisions and approvals from the relevant authorities to ensure accountability and integrity in the management of public funds.
