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MACC Investigates Massage Parlour Chain for Corruption Involving Enforcement Officers

Kuala lumpur: The Malaysian Anti-Corruption Commission (MACC) is investigating a leading massage parlour chain believed to be involved in a corruption case involving enforcement officers.

According to BERNAMA News Agency, the MACC's Special Operations Division and the Inland Revenue Board (IRB) have launched an investigation into the massage parlour chain, which operates 32 branches nationwide and has been active since 2023. The investigation revealed that the company allegedly used a two-tier accounting system to conceal most of its cash sales, resulting in an estimated annual tax leakage of RM7.56 million.

The investigation further uncovered incidents of bribes paid to enforcement officers and local authorities to facilitate the company's operations and as protection money. Several individuals have been identified, and follow-up actions are being taken against them. The MACC has frozen 121 bank accounts, both private and company-related, with an estimated total of RM11.5 million.

So far, 12 witness statements have been recorded to assist in the investigations. The investigation also involves the freezing of assets in the Klang Valley and Johor, believed to have been acquired through money laundering activities. These include five luxury vehicles worth approximately RM1.5 million, five commercial premises valued at about RM7.3 million, two industrial properties worth about RM2.3 million, and seven residential units totaling approximately RM7.7 million.

Magistrate Ezrene Zakariah approved a remand order for five individuals at the Putrajaya Magistrate's Court this morning. The individuals, comprising company directors and senior management staff aged 30 to 50s, were arrested in the Klang Valley and Johor. Four suspects are remanded until Jan 31, while one is remanded until Jan 30.

MACC Special Operations Division senior director Datuk Mohamad Zamri Zainul Abidin confirmed the operation's continuation. The investigation focuses on offenses under Section 16 of the MACC Act 2009, alongside other criminal elements such as money laundering.