Trapped by MLMA: The Fake Investment Platform Cost Him RM 2.2 Mil

A 59-year-old man from Kuching has lost more than RM2.2 million after falling victim to a fraudulent online stock investment scheme linked to a fake trading platform known as MLMA.

According to Kuching police chief Assistant Commissioner Alexson Naga Chabu, the victim was added to a WhatsApp group on 18 August, where he was introduced to an investment scheme called MLK1. The group promoted what appeared to be a legitimate stock trading opportunity and promised substantial profits.

Members of the group persuaded the man to download an application named MLMA, claiming it was part of the MLK1 investment programme. The platform featured convincing charts, live price feeds, and profit dashboards, giving the illusion of a professional trading system.

Encouraged by what seemed to be growing returns, the victim made 22 online transfers to 11 different local bank accounts, totalling RM2,268,696.90. The transactions took place over several weeks as he continued to believe his investment was performing well.

The truth only surfaced when the man attempted to withdraw his supposed profits, which appeared as RM39 million in his MLMA account. Despite repeated efforts, he was unable to access the funds or reach the so-called platform representatives. That was when he realised the entire scheme was a scam.

Investigations revealed that both MLMA and MLK1 were fake trading platforms, created by scammers to mimic legitimate investment systems. Police confirmed that the case is being investigated under Section 420 of the Penal Code for cheating, which carries a sentence of up to ten years in prison, caning, and a fine upon conviction.

Authorities have warned the public to stay alert to similar scams circulating online, particularly those promoted through WhatsApp, Telegram, or Facebook. These platforms have become common tools for fraud syndicates who lure victims by sharing fake success stories and testimonials.

The police noted that such scams often start with small investments that appear to grow quickly. Once victims are convinced, they are encouraged to transfer larger sums — until the scammers disappear.

Financial regulators urge Malaysians to verify all investment offers through the Bank Negara Malaysia (BNM) and Securities Commission (SC) websites. Any company or platform not listed on these sites should be treated with extreme caution.