FIRM’S FOUNDER RELEASED
He is freed on a RM500,000 bail after having his statement taken
THE founder of MBI Group International, who was arrested on Monday following investigations into the company’s alleged illegal money scheme, has been released.
His remand order was supposed to end tomorrow, but Domestic Trade, Cooperatives and Consumerism Ministry enforcement director Datuk Mohd Roslan Mahayudin said the man, in his 50s, was released yesterday afternoon from the Kulim police station.
“We released him after we finished recording his statement.
“We will call him again if the need arises.”
It is learnt that the man was released on a RM500,000 bail.
It was reported that the founder was arrested at his home in Taman MBI DesaKu in Kulim, Kedah, in a raid at 6.30am on Monday.
Raids were also conducted in Sungai Dua, Butterworth, and another area in Kulim.
Authorities seized more than RM600,000 in cash and three luxury vehicles.
Four bank accounts, containing RM30 million, under Mface Club belonging to a relative of the founder were frozen.
The operation was conducted under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
In a related development, more “high-ranking officials” from MBI Group are likely to be called in for questioning as the probe into the company’s alleged illegal money scheme intensifies.
Sources close to the investigation told the New Straits Times that the task force investigating the matter had identified several individuals to assist in its investigation.
These individuals played a key role in the operations of MBI Group International.
“They hold top ranks in the hierarchy and they are heavily linked with the illegal money scheme activity.
“We believe they are the accomplices of the company founder.
“They have been with the founder since the beginning of the money game’s operations.
“They will be summoned to have their statements taken before we decide whether to arrest or remand them, if the need arises,” the source said.
MBI Group was one of 302 companies listed under Bank Negara Malaysia’s (BNM) financial consumer alert list on suspicion of not adhering to relevant laws and regulations in their operations.
The task force, including police officers and personnel from the Companies Commission of Malaysia, the Domestic Trade, Cooperatives and Consumerism Ministry and BNM raided its premises here and in Ampang, Kuala Lumpur, on May 29.
To date, 98 bank accounts from eight financial institutions, containing RM209 million, have been frozen.
“Some of the accounts belong to the accomplices of the founder,” the source added.
It was reported that MBI Group International, a large electronic shares platform operator, was being investigated by various authorities for allegedly operating without a direct sales licence, promoting a pyramid scheme and money laundering.
The group of 27 companies, which included a development firm, is said to have about 4.5 million members across the Far East, especially in Malaysia and China.