(Kuala Lumpur, 18th) The Ministry of Domestic Trade and Cost of Living recently carried out a 'Special Purity Operation' (Ops Tulen) at the Old Kuchai Commercial Centre, seizing 3,545 various forms of gold bars estimated to be worth RM82,725.
The Ministry issued a statement today, saying that after receiving reports that the premises were allegedly selling gold products that did not meet purity standards via social media, six enforcement officers from the department carried out an enforcement operation under the 2011 Trade Descriptions Act (Act 730).
The Ministry issued a statement today, saying that after receiving reports that the premises were allegedly selling gold products that did not meet purity standards via social media, six enforcement officers from the department carried out an enforcement operation under the 2011 Trade Descriptions Act (Act 730).
The statement pointed out that after testing the purchased gold coins with X-ray fluorescence (XRF) equipment, the actual gold content was found to be far lower than the labelled AU 999.9 purity, with average readings of only about 77%.
It said further inspection revealed the premises supplied the same gold products to retailers selling online, and testing on the seized gold showed that each piece of 0.01-weight gold had a gold content between 80% and 98%.
It said further inspection revealed the premises supplied the same gold products to retailers selling online, and testing on the seized gold showed that each piece of 0.01-weight gold had a gold content between 80% and 98%.
"In view of this, the premises are suspected of making false trade descriptions on the purity standard of precious metals, in violation of Section 5(1)(a) of Act 730."
The statement mentioned that besides the gold, enforcement personnel also confiscated various equipment and relevant items to assist with further investigations.
It added that the Ministry takes legal action against anyone making false trade descriptions regarding the ingredients, type, or name of products. Under Section 5(1)(c) of Act 730, individual first-time offenders may be fined up to RM250,000 or be imprisoned for up to three years, or both.
For first-time corporate offenders, they may be fined RM500,000, and for second or subsequent offences, the fine can be up to RM1 million.
The statement mentioned that besides the gold, enforcement personnel also confiscated various equipment and relevant items to assist with further investigations.
It added that the Ministry takes legal action against anyone making false trade descriptions regarding the ingredients, type, or name of products. Under Section 5(1)(c) of Act 730, individual first-time offenders may be fined up to RM250,000 or be imprisoned for up to three years, or both.
For first-time corporate offenders, they may be fined RM500,000, and for second or subsequent offences, the fine can be up to RM1 million.
"The Ministry emphasizes that it is committed to continuously strengthening enforcement efforts to combat misleading and fraudulent commercial practices, especially those involving the sale of precious metal products."
If the public has information or complaints about fraudulent trade activities, they may submit complaints through several channels: WhatsApp 019-848 8000, the Ministry's electronic complaints website http://eaduan.kpdn.gov.my, the call center at 1-800-886-800, or the KPDN Ez ADU application.
If the public has information or complaints about fraudulent trade activities, they may submit complaints through several channels: WhatsApp 019-848 8000, the Ministry's electronic complaints website http://eaduan.kpdn.gov.my, the call center at 1-800-886-800, or the KPDN Ez ADU application.