Watch Out! These Companies Aren’t Approved by BNM (Update 2023)

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*This article was translated by Farhana Adli from PELABURAN: Ini Senarai Syarikat Yang Takde Kelulusan BNM

"New year, new me! What a good time to start investing!"

Eh, kejap, sure ke? Don't you feel uneasy all of a sudden? As if the company you're investing seems a bit sus? Actually, that's a good sign! If you feel that way, it means you have the gut feeling to check the background of the company you chose, whether it's BNM approved and registerd, or not.

So, to help you ease your worries, we have compiled a list of companies that aren't approved by Bank Negara Malaysia (BNM) and other valuable info that you need to know before choosing your preferred investment company.

Image source: Google

What's covered in this article?

List of unauthorised companies from Bank Negara Malaysia (BNM)

The companies that we’ll be listing are based on the information, reports, and queries received by the Central Bank of Malaysia (BNM). However, this list is not exhaustive and will be updated from time to time. This list functions as a guide for you (the public) to check the licensing status of individuals or companies.

You guys are advised to not make any deposit or investment with individuals or entities that aren’t regulated by the relevant laws.

These are the companies that are neither authorised nor approved under the relevant laws and regulations administered by BNM in 2021.

Deet Investment Scheme
Dinar Edaran Emas Trading Investment Scheme
OctaFX
Madinah Mining
Tadawul Investment Scheme
VanguardFX Asian 2021
Muhibah Yatu Investment
Euro Trade (M) Co

If you want the full list, you can click here: List of companies and websites that are not authorized or approved by BNM

So, what happens when you 'accidentally' invested your money in companies that aren’t approved by BNM?

Quite worrying actually, because:

Consumer protection isn't valid and can’t be used if the companies that you choose aren’t registered under BNM.
You may be charged under the relevant laws for complying with the illegal activities.

So, if you are not careful in choosing the right investment company, you may be prosecuted under the Malaysian law, without the protection of consumer law. (Yikes!)

How to check if a company is genuine?

According to BNM’s official website, there are a number of shady characteristics of an individual or company, which are:

The operators will contact you through letters, phone calls, online, or might as well face-to-face but with the same intention which is to receive money from the innocent people (which is you guys) for the inexistent goods or services.
The interest rates, returns, or profits in their schemes are much higher than the licensed financial institutions.
High returns are promised to captivate you to invest in their illegal schemes. The investors may not be given any copy of documents, including the agreement with the scammers.
No guarantee on instant high returns.
The operators will use the money received from the new depositors to provide high returns or repay the principal amount to the old depositors at the beginning of the scheme.
Having said that, they can’t make deposits in the ventures or investments that can provide the same or higher returns, hence, they can’t maintain high returns or repay the investor's money as promised.

Image source: PropertyGuru

What to do if you think you are being scammed?

You’re advised to inform BNM of any illegal and suspicious activities or entities to:

BNMLINK (Pusat Perhubungan Bank Negara Malaysia)
1-300-88-5465 or
Laman web: https://telelink.bnm.gov.my/

The illegal financial activities that can be reported to BNM are:

An illegal deposit-taking.
Invalid foreign currency trading scheme.
Illegal money services business activities.
Improper market conduct or practices by BNM's licensee.
Misuse of BNM and senior officers' names and positions
Other illegal financial activities mentioned in the relevant laws and regulations managed by BNM.

Image source: PDRM Malaysia Offical Facebook

You can also make a report at the respective BNM's Regional Offices and branches in Malaysia:

Pejabat Wilayah BNM Pulau Pinang
No 27, Lebuh Light, 10200 Georgetown, Pulau Pinang
Tel: +604-258-7588

Pejabat Wilayah BNM Johor Bahru
Jalan Bukit Timbalan, 80000 Johor Bahru, Johor Darul Takzim
Tel: +607-225-7888

Pejabat Wilayah BNM Kota Kinabalu
Jalan Lapan Belas, 88000 Kota Kinabalu, Sabah
Tel: +6088-522-310

Pejabat Wilayah BNM Kuala Terengganu
Jalan Sultan Mohamad, 21100 Kuala Terengganu, Terengganu Darul Iman
Tel: +609-622-0571 / 638-2001

Pejabat Wilayah BNM Kuching
Jalan Satok, 93400 Kuching, Sarawak
Tel: +6082-224-200 / 224-328

On top of that, you can also check with other law enforcement agencies to verify related activities:

Suruhanjaya Sekuriti Malaysia: www.sc.com.my/bm/
Kementerian Perdagangan Dalam Negeri, Koperasi dan Kepenggunaan (KPDNKK): www.kpdnhep.gov.my/ms/
Suruhanjaya Koperasi Malaysia (SKM): www.skm.gov.my/index.php/my/
Suruhanjaya Komunikasi dan Multimedia Malaysia (MCMC): www.mcmc.gov.my/en/home
Suruhanjaya Syarikat Malaysia (SSM): www.ssm.com.my/
Polis Diraja Malaysia: www.rmp.gov.my/

The most important aspect of any kind of investment is that you guys need to understand the concept beforehand and always take a cautious step before starting your move.

So, if you need more information regarding finances, you can always get it from Loanstreet for free, ya!

*The above article is intended for informational purposes only. Loanstreet accepts no responsibility for loss that may arise from reliance on information contained in the articles.

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