Over 400 arrested in M’sia over forex finance scam allegedly linked to S’pore firm

Over 400 arrested in Malaysia forex scam allegedly linked to firm headquartered in Singapore

Kuala Lumpur police stormed a commercial building in Bangsar South on Tuesday (26 Aug), arresting more than 400 employees of a company allegedly running an illegal online forex scheme.

Authorities revealed the firm had branded itself as an “international financial services group headquartered in Singapore”, but was in fact operating without a valid license in Malaysia.

The large-scale operation involved officers from the Kuala Lumpur Police Headquarters and the Brickfields Police District, Sin Chew Daily reported.

At least five office floors were raided, with suspects later transported in police trucks for questioning.

Police suspect large-scale forex investment scam behind glossy facade

The company reportedly claimed on its website that it was founded in 2014 and specialised in brokerage, wealth management, payments, and real estate.

But police believe the building housed a syndicate secretly running illegal forex trades under the guise of offshore brokerage.

Kuala Lumpur police chief Fadil Marsus confirmed the raid and arrests. He also said that investigations are ongoing due to the large number of arrests.

Most suspects were locals, later released on police bail

According to China Press, about 80% of those detained were Malaysians, while the rest were foreigners.

Though they were initially held at Brickfields Police Headquarters, many were later released on verbal bail late on Wednesday (27 Aug). By around 11.20pm, employees were seen walking free and reuniting with relieved family members who had been waiting outside the station for hours, China Press reported.

However, those freed were not completely off the hook. They have reportedly been instructed to report to Kuala Lumpur Police headquarters the following morning to assist with ongoing investigations.

The raid, one of the largest in recent years, has sparked speculation about the company’s true scale and possible cross-border links, given its alleged links to Singapore.

Police are expected to release more detailed information once the investigations are concluded. For now, over 400 people remain under probe for their involvement in what authorities suspect to be a major illegal forex investment scam.

Also read: Woman in M’sia orders expensive dishes during date, cafe allegedly part of ‘scam’

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Featured image adapted from China Press.