KUALA LUMPUR: Courts will be empowered to issue property restriction orders to prevent proceeds from cybercrime activities from being disbursed, even before suspects are formally charged, says Datuk Seri Dr Ahmad Zahid Hamidi (pic).
The Deputy Prime Minister said the provision was among the measures introduced under the Cybercrime Bill 2026 to strengthen 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 disbursed,” he said in a written parliamentary reply.
He 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.
Ahmad Zahid said Clause 23 specifically addressed increasingly sophisticated digital impersonation offences arising from advances in AI technology.
“Existing laws are no longer sufficient to address deepfakes. Therefore, Clause 23 expands the scope of offences involving impersonation committed through computer systems,” he said.
Ahmad Zahid said Clause 2 also extended Malaysia’s jurisdiction to cybercriminals operating overseas, provided their offences involved computer systems in Malaysia or Malaysian victims.
“Legal action can be taken against offenders abroad although the offences were committed locally, provided the crimes involve systems in Malaysia or the victims are Malaysian citizens,” he said.
Meanwhile, Bukit Aman Commercial Crime Investigation Department (CCID) director Comm Datuk Rusdi Mohd Isa welcomes the government’s move to strengthen the country’s legal framework through the Cybercrime Bill 2026.
“Cybercrime and online fraud are no longer confined by geographical boundaries. Syndicates can operate from overseas using digital infrastructure, AI and identity impersonation to target victims in Malaysia.
“Therefore, these cross-border jurisdiction provisions provide a clearer legal basis for allowing investigative and enforcement actions to be carried out against perpetrators who are located overseas,” he said in a statement.
He added that the police also welcomed the strengthening of investigative powers relating to the preservation and disclosure of data, the collection of traffic data and the interception of communications as important measures in addressing cybercrime.
