KUALA LUMPUR: The issue of whether banks should bear greater responsibility for clients losing money to online scammers is one for Parliament to decide, says Datuk Seri Azalina Othman Said (pic).
The Minister in charge of Law and Institutional Reform said this may be necessary in light of the issue being often raised by the rakyat and the nation's move towards digitisation.
"It is the Members of Parliament (MPs) that should discuss if a tighter insurance scheme is needed for banks and financial institutions that hold our money.
"This is in light that we now have a Digital Ministry set up by the Madani Government as the nation is headed towards digitalisation," she said when answering a supplementary question by Khoo Poay Tiong (PH-Kota Melaka) in Dewan Rakyat on Monday. (Oct 14).
Khoo had asked if the banks should be made to bear responsibility for data breaches which result in depositors losing money to scammers.
He cited a complaint from a constituent who received a notification on his phone from his bank at 4.30am alerting him of a change to the phone used for his online banking transaction which was not in his possession.
"The notification said that there would be a 12-hour cooling off period before any transactions can be made.
"However, in less than 12 hours, the person found out that money had been transferred out of his account at about 8.30am," he said.
To this, Azalina said that she too almost fell victim to an online scam after receiving a notification at 3am.
"I was shocked that RM3,000 was transferred out of my account but fortunately I managed to get it back," she said.
She noted in such an event, member of the public should hit the "kill switch" linked to their bank accounts.
"I was informed by Bank Negara of the 997 (kill-switch).
"(Which is) What should be done immediately so that the money is not transferred out. If you get a notification as 4.30am, hit the kill switch as soon as possible by 4.35am," she said.
She also added that the first line of defence should lay with the individuals themselves as they should be more careful against such scams.
The kill-switch is an initiative of Bank Negara which was adopted by banks on March 1 last year.
On laws against online crimes, Azalina said that it could be tabled and passed during the current meeting.
"God willing, we will be creating laws against online crime during this Parliamentary meeting after the budget is approved," she said.
She added that MPs should use the opportunity to debate the issue when that proposed law against online crimes is tabled.
Budget 2025 will be tabled this coming Oct 18 and passed on Dec 3.
