Register or risk 2-years jail term RM50,000 fines SSM warns online businesses

SSM chairman Datuk Seri Alias Ahmad
SSM chairman Datuk Seri Alias Ahmad

Companies Commission of Malaysia (SSM) had taken legal action against 478 individuals for failing to register their online business activities last year.

“Any sort of business that generates income must be registered. There is no exception.

“Those who fail to register can be fined a maximum of RM50,000 or jailed up to two years or both upon conviction under the Registration of Businesses Act,” SSM chairman Datuk Seri Alias Ahmad said after closing a three-day Online Networking Entrepreneurs Carnival in Shah Alam yesterday, reports The Star.

SSM has been firm with non-registered online businesses by bringing the business owners to book.

Apart from websites and blogs, online entrepreneurs nowadays also utilise various social media platforms such as Facebook, Instagram and WhatsApp to sell their products and services.

“We noticed an increase of online business registrations throughout the years, but the awareness level is still rather low.”

Alias noted that online entrepreneurs and consumers lose out in terms of protection of interest in light of complaints received by the ministry about cheating cases.

He said it cost only RM30 to register a business under an individual or RM60 for enterprises.