MACC investigates a national massage parlour chain for bribery, tax leakage of RM7.56 million, and money laundering, freezing RM11.5 million in accounts
KUALA LUMPUR: The Malaysian Anti-Corruption Commission is investigating a major massage parlour chain for corruption involving enforcement officers and significant tax evasion.
The MACC’s Special Operations Division and the Inland Revenue Board are probing the chain, which operates 32 branches nationwide.
Preliminary investigations found the company used a two-tier accounting system, failing to report most cash sales.
This resulted in an estimated annual tax leakage of around RM7.56 million.
The MACC also uncovered incidents of bribes paid to enforcement officers and local authorities.
These payments were made to facilitate operations and as protection money.
“MACC has also frozen 121 bank accounts involving private and company-related accounts, with an estimated total of RM11.5 million,” the commission stated.
Investigators have recorded 12 witness statements so far.
Assets suspected to be proceeds of money laundering have been frozen in the Klang Valley and Johor.
These include five luxury vehicles estimated to be worth RM1.5 million.
Five commercial premises valued at about RM7.3 million, two industrial properties worth about RM2.3 million, and seven residential units totalling about RM7.7 million have also been frozen.
Magistrate Ezrene Zakariah approved a remand order for five individuals at the Putrajaya Magistrate’s Court.
The suspects are company directors and senior management staff aged between 30 and 50.
Four were remanded until Jan 31, and one was remanded for three days until Jan 30.
All were arrested around the Klang Valley and Johor.
MACC Special Operations Division senior director Datuk Mohamad Zamri Zainul Abidin confirmed the operation is underway.
He said the investigation focuses on offences under Section 16 of the MACC Act 2009 and other criminal elements like money laundering.
