KUALA LUMPUR - Companies found working actively with the illegal multi-level marketing scheme by self-proclaimed Chinese millionaire Zhang Jian may have their direct selling licences revoked.
Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Hasan Malek said it was also working with other agencies such as Bank Negara and the Home Ministry on the case, which was being investigated under the Anti-Money Laundering Act and Anti-Terrorism Financing Act.
Hasan said it was probing the possible involvement of these companies in the scheme.
"The companies are believed to be involved in direct selling but they should not abuse it for other purposes. If they are found guilty, we will not hesitate to revoke their licences or freeze their accounts," he told reporters after a walkabout session at Jalan Tunku Abdul Rahman here yesterday.
Zhang, who is allegedly behind the scheme, is believed to have been using a fake name to conduct business in Malaysia and had left for Taiwan.
The scheme had been declared illegal by the ministry as the company was not registered with the Companies Commission of Malaysia and did not have a licence to carry out multi-level marketing.
He advised those with previous records of dealings under the scheme to lodge a report with the Consumers' Tribunal.
Ministry secretary-general Datuk Seri Alias Ahmad said the company's activities were being monitored, adding that efforts to track Zhang were still ongoing.
"We are also investigating the company's accounts," he said.
It is believed the company had collected around RM300 million (S$115 million) since it began its business in Malaysia.