New Straits Times

Malaysian authorities arrest MBI founder, seize more than RM2mil in cash, luxury cars

Three raids netted authorities cash in various currencies along with Jaguar and Range Rover vehicles

PUBLISHED : Tuesday, 20 June, 2017, 5:20pm
UPDATED : Tuesday, 20 June, 2017, 5:22pm

By Audrey Dermawan

The founder of MBI Group International has been arrested at his house in Kulim, Kedah to assist investigation into the company’s pyramid scheme-based financial investment.

The Domestic Trade, Cooperatives and Consumerism Ministry (KPDNKK) enforcement division director Datuk Mohd Roslan Mahayudin said the man in his 50s, was detained in his house in Taman MBI Desaku Kulim following a simultaneous raid at three locations.

He said in the first raid in Sungai Dua, Butterworth, the raiding party seized RM280,000 (US$65,352) cash.

He added that in the raid in Taman MBI Desaku Kulim, the raiding party seized RM187,612 (US$43,789), RM218,000 (US$50,881) in various foreign currencies as well as a Jaguar, Range Rover and Toyota Vellfire, all amounting to more than RM1.5 million (US$350,103).

No seizure was made at the third raid, also in Taman MBI Desaku Kulim.

“We have also frozen the suspect’s account as well as (that of) his relatives, amounting to RM30 million (US$7 million).

“He has been remanded for four days to assist in investigations,” he told newsmen here today, adding that the case is being investigated under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.

Roslan said the latest raids is a continuation of the Ops Token 1 operation conducted in the Klang Valley and M. Mall on May 29.

Roslan added that to date, the authorities have frozen 98 accounts with connection to the scheme, amounting to RM209 million (US$48 million).

“My advice to the people out there is to be careful and not to be tricked into investing in similar schemes which promise immediate return,” he added.

The raids were conducted by a task force which comprised officers from Bukit Aman’s Commercial Crime Department; the Domestic Trade, Cooperatives and Consumerism Ministry; Bank Negara Malaysia; and the Companies Commission of Malaysia.

It has been revealed that the task force was investigating MBI Group since last month, and that several documents were seized during the raid on company’s headquarters on May 28.

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