Malaysia Amends Direct Sales Act

TheStar Online:

The amended Direct Sales Act 1993, which is scheduled to be enforced early next year, will see heavier penalties for offenders.

Deputy Domestic Trade, Cooperatives and Consumerism Minister Datuk Tan Lian Hoe said this in her speech during the launch of wellness company One Community Worldwide’s eMerchant phase.

“My ministry is working hard to combat today’s increasing unscrupulous scams in the market place so that Malaysians can collectively help the industry to grow.

“In July this year, the Parliament has passed the amendment of the Act, whereby the focus is on the misconduct of pyramid schemes and spells out the criteria for pyramid schemes so that people will not be cheated,” she said.

Under the amendment, individuals promoting pyramid scheme is liable to a fine not less than RM500,000 and not exceeding RM5mil or up to five years imprisonment or both.

For companies, the fine is not less than RM1mil and not exceeding RM10mil.

Both of these fines are for first-time offenders.

Photo by jenny-pics

Leave a Comment

Your email address will not be published. Required fields are marked *