Online businesses must be registered - SSM

Online business operators, including those selling over Facebook and Instagram, are required to register their businesses with the Companies Commission of Malaysia (SSM) to prevent consumers from falling prey to cheats.

Domestic Trade, Cooperatives and Consumerism Ministry secretary-general Datuk Seri Alias Ahmad said there were cases where some people cheated buyers by selling counterfeit goods online.

"We understand that online businesses are getting more popular these days but we hope those involved will register their companies with SSM.

"The move is important as it will not only ensure that online businesses can be developed further in the country, but will also ensure that consumers are protected," he told reporters after closing the 'ONE SSM' carnival at Plaza Alam Sentral here today.

Also present were SSM chief executive officer, Datuk Zahrah Abd Wahad Fenner and Kota Damansara assemblyman, Halimaton Saadiah Bohan.

Alias said in this way, online shoppers could check on a company's profile before making purchases.

Elaborating, he said between 2012 and yesterday, about 30,000 online businesses were registered with SSM.

"Last year alone, a total of 6,389 online business companies were registered as compared to 2,690 in 2014.

"This is a positive development and we hope more online companies will register with SSM this year.

"In 2015, we took action against 478 online business owners under the Business Registration Act 1956 (Amendment 2001) for failing to register their companies," he said, adding this was a drop from the 2014 figure of 553.