1,428 Fraudulent Online Business Transactions Reported This Year

PUTRAJAYA, July 13 (Bernama) -- The Ministry of Domestic Trade, Cooperatives and Consumerism (KPDNKK) received 1,428 complaints regarding fraudulent online transactions this year.

KPDNKK's Enforcement Director Datuk Mohd Roslan Mahayudin said of the total, 50 advertisement content on the online marketplace was blocked.

"The most popular cases are that of buyers receiving different items from what they had initially ordered. For example, there was a case where a buyer had purchased a handphone online, but instead received a mortar and pestle.

"Another common case is the goods received are not the same as the items advertised,"he told a press conference, here today.

He said that last year the number of complaints received were 2,279 cases and some have been taken action on.

Mohd Roslan said the most unique case of advertising on an online market site last year was involving a man who rents his father's house.

"The deposit was given to the man and when the tenant wanted to move in, it was still occupied by the father of the man. Apparently the house was advertised without his father's knowledge,"he said.

However, he said the case was resolved and the deposit was returned to the tenant.

Mohd Roslan said action could be taken against untrustworthy sellers online, under the Consumer Protection Act 1999 and Trade Description Act 2011, in addition to cooperation with the Malaysian Communications and Multimedia Commission (MCMC) to block access to fraudulent websites.

He said currently, the ministry does not require any online marketplace operator such as Mudah.my, Lazada, Auctions and 11street to check the seller's identity card number before allowing them to advertise items for sale.

Mohd Roslan said the ministry only required them to store and maintain the name, address and telephone number of the seller under the Consumer Protection (Electronic Trading Transaction) Regulations 2012 so that the authorities could detect the seller if there was any consumer issues.

He said, in order to seek damages in case of any fraud, the victim could lodge a claim with the Tribunal for Consumer Claims and some platforms also provide their own online dispute resolutions and redress channels mechanisms such as Lazada, 11Street, Ebay and Amazon.

He also called for buyers to be smart when shopping online by comparing the price of items and conducting checks on the seller's record.