Cybercrime Bill allows asset restrictions even before suspects are charged, says Zahid


KUALA LUMPUR: Courts will be empowered to issue property restriction orders to prevent proceeds of cybercrime activities from being dissipated, even before suspects are formally charged.

Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi said the provision is among measures to be introduced under the Cybercrime Bill 2026 strengthening enforcement against online fraud syndicates, particularly those exploiting artificial intelligence (AI).

He said Clause 54 of the Bill would allow courts to issue preventive orders upon applications by the Public Prosecutor or authorised officers, regardless of whether a suspect had been charged.

"Among the orders that can be issued are cessation orders, restitution orders for victims, compliance orders and property restriction orders to prevent assets, such as proceeds from fraud, from being dissipated," he said in a written parliamentary reply on Wednesday (Nov 4).

Datuk Shamshulkahar Mohd Deli (BN-Jempol) had asked if existing cybercrime laws were able to tackle AI-driven online scams involving impersonation, deepfakes and digital manipulation.

Ahmad Zahid said the Cybercrime Bill 2026, which was passed by Parliament in July, was introduced to address shortcomings in the existing legal framework.

"The Bill aims to repeal the Computer Crimes Act 1997 (Act 563) to address existing legal gaps, including expanding jurisdiction over cross-border cybercrime and tackling all forms of cybercrime, including the misuse of AI technology for online fraud," he said.

Ahmad Zahid said Clause 23 specifically addresses increasingly sophisticated digital impersonation offences arising from advances in AI technology.

"Existing laws are no longer sufficient to address deepfake (technology), which can produce fake videos, images and voices that are difficult to distinguish from authentic ones and can be used to deceive the public.

"Therefore, Clause 23 expands the scope of offences involving impersonation committed through computer systems," he said.

To accelerate investigations into cybercrime syndicates, he said the Bill also provides investigative powers covering data preservation under Clause 38, data disclosure under Clause 39, traffic data collection under Clause 40 and communications interception under Clause 41.

"These powers are important because digital evidence can be deleted, altered or transferred within a short period," he said, adding that exercising them would be subject to prescribed safeguards.

"(Under Clause 2) legal action can be taken against offenders abroad as though the offences were committed in Malaysia, provided the crimes involve systems in Malaysia or the victims are Malaysian citizens," he said.

According to Ahmad Zahid, existing international cooperation mechanisms would be used to facilitate investigations, prosecutions and, where the necessary conditions are met, extradition to Malaysia.

"The Cybercrime Bill 2026 will strengthen enforcement agencies through responsive investigative powers and cross-border jurisdiction provisions to curb criminal activities, including online fraud involving AI technology," he said.

 

 

 

 

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