Saturday June 2, 2007
SC lauded for blocking access to web scam sites
By M. KRISHNAMOORTHY
PETALING JAYA: The financial community has welcomed the Securities Commission's (SC) decision to block access to illegal investment schemes operated by some 60 websites after it received 720 complaints and queries.
They are urging the SC to be more alert as such illegal sites could re-emerge as other websites.
Financial adviser Billy Toh, who is also a certified financial planner for unit trusts, said: "I am surprised the SC had to wait for 720 complaints to act. It should have acted much earlier because the complainants are only the tip of the iceberg, as the vast majority who were cheated may not have complained."
"Now the SC has to be more alert to check if the illegal investment websites emerge under another website. The SC has to employ experts on investment websites to monitor and block fly-by-night websites," he added.
He said the SC said had done a good job of publicising licensed and illegal websites.
"This will allow licensed companies to operate and the spoilt apples to be weeded out."
The SC's exercise to block the websites will begin on June 11.
The commission, in a statement on Thursday, advised investors in such schemes to withdraw their investments and terminate their accounts immediately.
Malaysian Associated Indian Chambers of Commerce and Industry president Pardip Kumar urged faster action in such cases in future.
"We must appreciate the fact that SC has acted finally, but it has to move faster as the website scams could start at another website address.
"The scams haves been around for some years and the SC should constantly monitor illegal operators," he said.
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