The recent development of online casino gambling in Malaysia has led to the increase in the number of police cases being filed against people involved in the gambling industry. This is despite the fact that online gambling is completely legal in Malaysia. Although there are no laws that regulate the provision of gambling at casinos here, the law does impose certain strict regulations over the transfer and acquisition of gaming chips and the production and sale of alcohol. Despite these laws, it is often the Malays and Chinese who are heavily involved in the production and distribution of gaming chips and other gambling related products.
There are many cases of trans-shipment of gambling chips and gambling products from China to Malaysia, with the support and assistance of intermediaries in the form of online casinos. Many people from rural areas who enjoy playing poker, blackjack, baccarat or other games of chance online are also drawn to Malaysia and its legal market for gambling, making illegal transfers of money and other products. This trend has resulted in a sharp increase in the number of cases being filed by Malaysian law enforcement agencies. The increase in cases and criminal proceedings against people involved in the online gambling industry in Malaysia highlights the need to strengthen the law that prohibits gambling.
Gambling is prohibited in Malaysia. This is partly because of the fact that the Malaysian national law prohibits the importation and exportation of gambling devices. It is also important to note that this includes all forms of gambling that are conducted through any type of machines. With the influx of Chinese people into Malaysia over the past few decades, there has been an increase in the number of cases being prosecuted for the possession or manufacture of gambling devices. The increased prosecution and penalty charges being applied to people involved in online casino gambling in Malaysia highlight the serious nature of the situation.
Since there is no centralized agency that handles the cases of persons who are prosecuted for possession of gambling equipment or for conducting or facilitating transactions for the purpose of gambling, each locality is responsible for the handling of the cases. The biggest prosecution case that was handled by law enforcement agencies last year was that of a Chinese national who attempted to access a known illicit drug marketplace in Penang. The investigation concluded that the man tried to obtain the drugs using a credit card that was authenticated on the card for usage in Malaysia. Upon his arrest, the man was found to be carrying several thousand Rials in his possession.
The lack of coordination between local law enforcement agencies and the central government has led to problems with the prosecution of persons involved in online gambling. Most of the cases of online gambling sites were closed out of the country due to the lack of resources. Local authorities lack the resources needed to track down operators and to properly investigate a case. In most of the cases, operators of online casino gambling sites were not even aware that their premises were being investigated. In addition, despite being aware of the pitfalls of operating an online casino from the country, local officials did nothing to stop the operation of the online gambling sites.
The lack of effective law enforcement measures combined with the rampant demand for illegal gaming cash from operators have led to a significant increase in the number of cyber crimes in Malaysia. Cyber crimes include fraud, extortion, malware, money laundering and identity theft. These online casino gambling and poker sites have also been used by hackers to launch attacks on casinos and other financial institutions.
In June, a Chinese national was charged with seventy-five charges related to the unauthorized entry into a Malaysia port for gambling purposes. The accused was identified as Wu Gang Lu, a resident of Dalian, Zheijang county in northern China. A court case was started against the suspect after the confiscation of a small vessel, which was suspected of containing gambling money. The boat was stopped near the southern part of Sabah, on the nation’s maritime borders. The suspects were prosecuted after being found to be in possession of an amount of gambling money. It is believed that this is the first case of gambling being conducted across the maritime borders of Malaysia.
Since this has become a trend, many operators are now setting up operations in other parts of the country. They have also begun targeting the tourist industry, as it is considered the most popular source of income. Many operators have set up their websites in different parts of Kuala Lumpur, Singapore, and other locales around the nation. Even some of the high profile cyber criminals have also been known to frequent the high end online casino gambling in Malaysia. Given these trends, it is unlikely that online casino gambling in Malaysia will ever go away.