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"Fuziah claims that foreigners are marrying locals for the purpose of operating businesses within the country"

Only citizens and permanent residents are allowed to establish sole proprietorships or partnerships, according to the deputy minister's statement on the law.

Non-native residents tying the knot with locals to manage domestic enterprises, alleges Fuziah
Non-native residents tying the knot with locals to manage domestic enterprises, alleges Fuziah

"Fuziah claims that foreigners are marrying locals for the purpose of operating businesses within the country"

The issue of foreigners registering businesses under their Malaysian spouses has not been previously identified as a widespread problem that requires immediate solutions, but it has been brought to light by Deputy Domestic Trade and Cost of Living Minister, Fuziah Salleh.

During her speech while winding up the debate on the 13th Malaysia Plan for her ministry, Fuziah Salleh stated that this practice poses a threat to local traders. The ministry often receives complaints from traders who feel threatened by foreigners registering businesses under their Malaysian spouses.

The Registration of Businesses Act 1956 only allows Malaysian citizens and permanent residents to register sole proprietorships or partnerships. However, some foreigners have found a way around this by registering businesses under the names of their Malaysian spouses.

Enforcement action against foreign traders is carried out in collaboration with the immigration department and local authorities. During raids, foreign workers are found sitting at the front counter, which is not allowed.

The ministry lacks the power to make arrests, so when conducting raids, they have to call the immigration department if foreign workers are found at the front counter. The ministry also lacks the power to prevent individuals married to foreigners from registering businesses, as the Companies Commission of Malaysia currently has no regulations preventing this practice.

Fuziah Salleh did not propose any immediate solutions to address this issue in the provided context. However, suggestions for restricting business registration for foreign spouses have been made, such as limiting it to a set period after marriage, like five years. The purpose of this restriction is to protect local small and medium enterprises from foreign competition.

It is important to note that the registration of businesses, such as retail shops, under the Act is limited to Malaysian citizens or permanent residents. The ministry has received suggestions from the public regarding this issue and has taken steps to address it in collaboration with the immigration department and local authorities.

In conclusion, the issue of foreigners registering businesses under their Malaysian spouses is a concern for local traders and the government. While no immediate solutions have been proposed, the ministry is taking steps to address this issue and protect local businesses from foreign competition.

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