Malaysian victims urge re-prosecution in RM29 million Ponzi scheme case

A group of 109 victims are demanding that Malaysia's Attorney General's Chambers (AGC) re-prosecute suspects involved in a fraudulent investment scheme that defrauded them of RM29 million four years ago. The victims, represented by the Malaysian International Humanitarian Society, are pushing for renewed charges under Section 420 of the Penal Code for cheating.

Their call follows a recent Kuala Lumpur High Court decision that declared the investment scheme illegal and possessing characteristics of a Ponzi or pyramid scheme. The court found the investment agreements were void from the start, acknowledging fraud and misrepresentation against investors.

Victims hope the court's findings will reopen criminal investigations against those responsible. They previously filed police reports, but many were classified as 'Refer to Other Agency' and forwarded to Bank Negara Malaysia (BNM). BNM had previously stated that some companies linked to the individuals involved had received deposits without authorization, leading to a RM50 million compound for violating the Financial Services Act 2013.

However, the victims argue that compounding the companies is insufficient given their substantial financial losses. They have repeatedly appealed to authorities for further investigation, finding new hope after another group of investors in the same scheme successfully filed for a declaration in the High Court.