Supporting enforcement against illegal foreign businesses


GEORGE TOWN: The planned crackdown on illegal foreign-run businesses is not aimed at any nationality, as legitimate foreign investments remain welcome, says Sim Tze Tzin (pic).

The Deputy Investment, Trade and Industry Minister said the government is enforcing Malay­sian laws to create a fairer environment for local small and medium enterprises (SMEs) and micro businesses.

“Our mandate is to attract legitimate investments. Investors who comply with Malaysian laws are welcome,” he said after a business dialogue session organised by the Penang Chinese Chamber of Commerce (PCCC) at a hotel yesterday.

On Monday, Prime Minister Datuk Seri Anwar Ibrahim said authorities had detected a growing number of foreigners entering Malaysia on tourist visas before allegedly operating businesses such as vehicle workshops, air-conditioning services, coffee shops and other small enterprises.

He instructed agencies, including Bank Negara and the Malaysian Communications and Multimedia Commission to monitor e-commerce activities, money trails and possible offences.

Sim said the ministry would continue monitoring the issue and support enforcement efforts against businesses operating without the necessary permits, licences or approvals.

He said business groups had repeatedly raised concerns over illegal business activities that created unfair competition for local operators, including allegedly circumventing taxes, licensing requirements and other compliance costs.

Asked whether such activities were confined to online businesses, Sim said they occurred through multiple channels, including online platforms, physical premises and individual operators.

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