PKR Youth criticises Putrajaya for policing online trade
Putrajaya’s move to regulate online business trading on social media will harm budding entrepreneurs and burden those trying to earn extra income in an already tough economic climate, says PKR Youth.
Its secretary-general Nor Hizwan Ahmad said the announcement yesterday for online traders to register themselves with the Companies Commission of Malaysia was bad news for budding businessmen and women.
"The subsystem of online sales involves students and housewives who only take a small commission from promoting the products of other manufacturers," he said in a statement.
"In light of the current economic conditions which Putrajaya has failed to control, a spirit of entrepreneurship should not be declared illegal.
"Putrajaya should instead encourage the development of such businesses as the cost of starting up is relatively minimal without much expenditure," he added.
Domestic Trade, Cooperatives and Consumerism deputy minister Datuk Seri Ahmad Bashah Md Hanipah said yesterday at the Dewan Negara that online traders needed to abide by the Consumer Protection Regulations (Online Commerce Transactions) 2012.
A Bernama report quoted Bashah as saying that they had to register themselves so as to protect consumers from being cheated or exploited.
He also threatened such start-ups and small firms, saying a failure to do so would risk being branded illegal.
Hizwan today questioned if the regulation was effective for online businesses, or if it would be used to impose additional taxes.
He added that a seller’s personal information was sufficient.
"Contact number, address, account number and the account holder are sufficient details for the buyer for online transactions."
"If any wrongdoing or fraud occurs, authorities can take action based on the information available," he said.
"In today's world without borders, will online sellers based abroad also have to register under this act? If not, will we have two sets of laws?"
He added that Putrajaya should conduct proper studies on the subject before implementing laws that would merely stifle the entrepreneurship of Malaysians. – December 18, 2014.
