Enforcement Action against Company Suspected To Be Using The Word "Bank" Without ApprovalRelease Date: 24 May 2018
A raiding operation was conducted on Axios Group Sdn Bhd located in Cheras on 24 May 2018. Axios Group Sdn Bhd was suspected to have committed an offence under section 139(1)(a) of the Financial Services Act 2013 (FSA) for using the word “bank” in their office premise signage and websites without written approval by Bank Negara Malaysia. During the raid, relevant documents and computers were seized to assist in the investigation.
Under section 139(1) of the FSA, it is an offence for any person to use the word “bank” without written approval unless such person is licensed under this Act to carry on banking business or investment banking business, where if convicted the person can be liable to imprisonment for a term not exceeding eight years or to a fine not exceeding RM25 million or to both.
Members of the public are advised to be wary of unlicensed companies that use the word “bank” without prior written approval from the Bank and should refer to licensed financial institutions listed on Bank Negara Malaysia’s website (www.bnm.gov.my).
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