Online businesses in Malaysia may need to register

Its minister Hamzah Zainuddin, said the laws were needed to better regulate the fast growing e-commerce while preventing online scams and cheating.

"There are currently no laws to require online business to register with the authorities and we are looking towards this," he said told MP Wan Mohammad Khair-il Wan Ahmad in the Dewan Rakyat.

He said the proposed laws would also cover those using the internet to conduct one-off transactions.

"For example, even those wanting to use e-commerce to sell their products for only 30 days will have to register," he added.

He acknowledged that businesses were free to conduct e-commerce although they were encouraged to obtain the "Malaysia Trust Mark" logo.

"The logo gives consumers the assurance that the online business is genuine.

"However, businesses without the logo are also permitted to carry out e-commerce," he said.

Hamzah noted 247 complaints were made against online businesses between 2013 and February this year.

He said the number of complaints increased from 61 in 2013 to 83 cases in 2014 and 129 cases last year.

"As of February this year, 14 cases were lodged with the ministry," he added.

In a supplementary question, Mohammad Khair-il wanted to know what was being done to prevent a floodgate of unverified foreign food, health and cosmetic products that pose a danger to consumers.

"There are 16.3 million Malaysians who conduct e-commerce and the trade is expected to reach 12 billion ringgit (US$2.98 billion) by 2018," Mohammad said.