KUALA LUMPUR: Scam-fighting efforts should target mule accounts at the source, as they are a key channel used by criminal syndicates to move illicit funds, says Transparency International Malaysia (TI-Malaysia) president Dr Raymon Ram.
Speaking at a media roundtable organised by the Asian Institute of Chartered Bankers (AICB) in conjunction with the 16th International Conference on Financial Crime and Counter Terrorism Financing (IFCTF) 2026, he said TI-Malaysia is currently interviewing convicted offenders in prisons to understand the factors that influenced their decisions.
"We are interviewing them to understand how they were recruited and why they got involved in mules, and we should be publishing our research paper soon. I believe that is the core, root cause of the entire thing," he said.
Raymon, who is also managing principal of Graymatter Forensic Advisory, said not all mule account holders were aware their accounts were being used by criminal syndicates, with students among those who may be lured through seemingly legitimate job offers.
"Not all mules know that they are mules. Simple as that," he said, adding that many were attracted by incentives without fully understanding the consequences. He said some students were offered jobs that involved opening bank accounts or allowing their accounts to be used for transactions, without fully understanding the criminal implications.
"Awareness efforts should therefore be more targeted at groups vulnerable to recruitment, including students and housewives, rather than relying solely on broad anti-scam campaigns," he emphasised.
Raymon said mule accounts were also being used beyond individual account holders, with company accounts potentially exploited to facilitate large-value transactions, either knowingly or unknowingly.
Meanwhile, at the same roundtable, Confide Platform founder and chief executive officer Pav Gill said Malaysia's Whistleblower Protection Act 2010 is fundamentally weak and must be strengthened to protect whistleblowers.
He added that corporate accountability also warrants greater emphasis, particularly in examining how decisions were made and whether red flags were acted upon.
Pav, a Wirecard whistleblower, said a fundamental gap was that whistleblowers could lose protection if they raised concerns internally rather than reporting directly to enforcement agencies.
"I think companies should be given a chance to fix problems first before they go to enforcement agencies. So that's a fundamental gap. Stronger internal reporting mechanisms could allow companies to address wrongdoing earlier while ensuring adequate protection for those who raise concerns," he said.
He said Malaysia could learn from approaches adopted in Japan and the European Union, while stronger protection and incentives could encourage more people to come forward.
Pav also suggested considering tougher deterrent measures, citing Singapore's use of caning as an example of how punitive measures can deter criminal activity.
Also taking part in the roundtable were AICB chief executive officer Edward Ling, crime prevention specialist Dr Shamir Rajadurai, and SymphonyAI Singapore's Asia-Pacific (APAC) compliance and financial crime industry advisor Martin Smith.
The session was moderated by Astro Awani anchor, journalist and editor Luqman Hariz. - Bernama
