JPPM reviews legal framework for registered organisations, proposing specific guidelines and independent audits for those collecting public funds above a certain scale.
PUTRAJAYA: The Registry of Societies of Malaysia (JPPM) is reviewing the need to enhance the legal framework governing registered organisations, including proposals for specific guidelines and an independent audit mechanism for those collecting public funds above a certain scale.
JPPM director-general Datuk Mohd Zulfikar Ahmad said the effort is part of ongoing improvements to the Societies Act 1966.
“JPPM takes note of media reports that are going viral on social media regarding allegations of fund misappropriation involving non-governmental organisations (NGOs), amounting to millions of ringgit and linked to influential individuals.
“These reports have raised public concern over the transparency and integrity of the management of donation funds by registered organisations,” he said in a statement today.
Sharing the latest data, he said that as of March 31, 2026, JPPM had received 314 complaints related to alleged misuse of funds involving registered organisations over the past five years.
“During the same period, 21,013 organisations had their registrations revoked between 2019 and 2026 for various offences, including non-compliance with legal provisions,” he said.
He stressed that JPPM remains committed to carrying out its regulatory functions in a transparent and integrity-driven manner, based on the provisions of the Societies Act 1966 (Act 832) as well as the constitution of each registered organisation in Malaysia.
He said JPPM monitors organisations’ fund management through compliance requirements such as maintaining complete financial records, presenting financial statements at annual general meetings, and submitting documents to JPPM when requested.
“This monitoring covers all forms of fundraising, whether conducted physically or through online platforms, including social media,” he said.
On enforcement, he said JPPM carries out reviews and takes action based on complaints, non-compliance or breaches of the prevailing legal provisions.
