KUALA LUMPUR – The police had issued warning on kootu funds collection, which is prohibited by the law in Malaysia.
Through the Cyber Crime Alert Royal Malaysia Police Facebook post, the police reminded the public that kootu is an offence under Section 3 of Act 28 Kootu Funds (Prohibition), Act 1971.
Individuals convicted with that offence can be fined not exceeding RM500,000 or imprisoned not more than 10 years or both.
“It is Unlawful to carry on business or promoting kootu funds.
“It shall be unlawful for any person to carry on the business of promoting kootu funds and any person who carries on such business shall be guilty of an offence and shall, on conviction, be liable to a fine not exceeding five hundred thousand ringgit or to imprisonment for a term not exceeding ten years or to both,” said the statement.
It also said that if the kootu chief went missing with the money, victims may lodge a report at their nearest police station. Usually, these cases will be referred to the Companies Commission of Malaysia (SSM) for investigations. -MalaysiaGazette