New law to prevent Internet business frauds
The Borneo Post - 26 May 2003  

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IPOH: The Electronic Transaction Act to be tabled in parliament in October is part of the government's effort to prevent e-commerce frauds.

There were no laws to control e­commerce in Malaysia at present, said Domestic Trade and Consumer Affairs Ministry's Domestic Trade Division Principal Assistant Director Mohamed Azni Mohamed Ali.

Due to this, many people who joined the business thinking they could make quick profits were cheated, he said.

"Many of those who operate these businesses are foreign companies.

They have their own websites and such schemes will attract many people as it is worldwide," he told reporters after the launch of the direct selling and get-rich-quick scheme information session.

It was launched by the Perak Unity and Consumer Affairs Committee Chairman Datuk G. Rajoo here yesterday.

The biggest case exposed in Malaysia was the Skybiz where 65,000 people were involved and each had to pay RM380.

"However, the government had announced that the business is a pyramid scheme and America, where it originated, took action in March last year," he said.

He said since there were no laws the government was not responsible for those involved.

"Whatever happens they are responsible for themselves. Even the international laws are not applicable to Internet businesses. However, there are some countries that have created such laws. In Asia, we may be the first," said Mohamed Azni.

He advised the public to be careful as people can be easily duped and become the victim. - Bernama