Malaysia Proposes Cybercrime Law Amendments to Combat Online Gambling

MCMC’s Powers to be Strengthened

The amendments presented to Parliament by Communications Minister Fahmi Fadzil is the first major overhaul of the 26 year old law. Key changes will empower the Malaysian Communications and Multimedia Commission (MCMC) to regulate and enforce more. Online gambling which costs the government an estimated MYR2 billion ($451.8 million) a year in tax revenue is one of the main focus of the bill.

If approved, the amendments will allow MCMC to audit, regulate the industry and address network risk. Penalties for internet misuse under Section 233 of CMA will also increase tenfold and jail term up to 2 years.

Online gambling is a long standing problem in Malaysia with illegal operators using sophisticated means to bypass the regulations. The proposed changes aim to deter these activities by introducing stricter penalties and more monitoring of social media and messaging apps. Operators will also be required to provide user information to help in investigating online gambling and scam cases.

Free Speech and Oversight

Despite the government’s push for more regulation, the amendments has drawn flak from civil society and free media advocates. Critics including Dr. Benjamin Loh, a senior lecturer at Taylor’s University, fear the expanded powers will infringe on free speech and give the government too much control over online platforms and private data.

There are also concerns over the provision that grants MCMC immunity from lawsuits for actions taken “in good faith”. This lack of accountability has raised questions on abuse of power.

Regulation vs Public Concerns

Minister Fahmi Fadzil said the government will engage with stakeholders to find a balance. The amendments is in response to the economic and social harm caused by online crimes. From 2020 to 2023, internet scams alone cost Malaysians RM3.2 billion ($722.88 million) and illegal betting is adding to the problem.

The amendments is Malaysia’s effort to modernize its cybercrime laws but the impact on freedom and privacy is still a hot topic as the debate continues in Parliament.