SHAH ALAM, Jan 26 – SSM chairman Datuk Seri Alias Ahmad said on yesterday that the legal action will be taken against those who fail to register their business with the Companies Commission of Malaysia (SSM). Many people do it every day which selling their clothes, handbags, accessories, homemade pastries, even cut fruits via the Internet without any registration.
But they do not realise that such transactions are against the law if they are not registered with SSM. As online selling has become popular in recent years, many are still not aware of the necessity to register their businesses and the severe consequences if they fail to do so.
“Many online entrepreneurs have not registered their businesses, with only 30,000 having done so between 2012 and Sunday (Jan 24). Those who fail to register can be fined a maximum of RM50,000 or jailed up to two years or both upon conviction under the Registration of Businesses Act,” Alias said after closing a three-day Online Networking Entrepreneurs Carnival here yesterday.
“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,” Alias, who is also the secretary-general of the Domestic Trade, Cooperatives and Consumerism Ministry, said.
