Strengthening Cybersecurity: Malaysia Passes Act 588 Amendments to Combat Online Threats

KUALA LUMPUR, Dec 10 (AsiaNewsToday): The Dewan Rakyat today passed the Communications and Multimedia (Amendment) Bill 2024 via a bloc vote, with 59 MPs in favour, 40 against, one abstention, and 122 absent. The amendments to the Communications and Multimedia Act 1998 (Act 588) are aimed at addressing the surge in cyber threats, including online scams, child exploitation, cyberbullying, and misuse of networks for criminal purposes.

Communications Minister Fahmi Fadzil, in winding up the debate, defended the retention of Section 233, which targets the misuse of networks, particularly for illegal activities such as selling pornography and facilitating paedophilia.

“The fundamental issue with Section 233 is network misuse. If the entire section were repealed, it would allow scammers and paedophiles to operate unchecked,” Fahmi stressed.

Key Amendments and Their Purpose
The Bill introduces significant updates to Act 588, focusing on strengthening penalties, refining legal definitions, and aligning the Act with current industry standards.
Section 233 Enhancements:
o Higher penalties for offences involving children under 18, including a maximum five years’ imprisonment, a fine of RM500,000, or both.
o A new clause imposes an additional fine of RM5,000 for each day the offence continues post-conviction.
o The term “offensive” has been replaced with “grossly offensive,” with new provisions to address fraud and deceit targeting individuals.
• Section 211 Adjustments:
o The section now applies specifically to Content Application Service Providers (CASP), excluding the general public.
o The phrase “offensive content” has been revised to include “indecent content and others,” broadening its scope.
o Penalties have been increased from RM50,000 to RM1 million to reflect current industry standards.
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Fahmi explained that the existing fines, based on 1998 values, are no longer proportional to the revenues of today’s telecommunication companies. “Considering the telecommunications industry’s growth, we see the need for adjustments to ensure fairness and relevance,” he added.

Escalating Cybercrime: Urgent Need for Action
Fahmi reiterated the urgency of these amendments, citing the alarming RM1.224 billion in losses recorded from cybercrimes between January and October 2023. These crimes include telecommunications fraud, e-finance scams, e-commerce fraud, and love scams.

“The urgency of this amendment is clear – the online space must not be allowed to become a breeding ground for such sophisticated crimes that threaten the safety of individuals and the economy,” he said.

Tackling Harmful Online Content
Between 2022 and December 2023, the government removed:
185,858 gambling-related posts
62,833 scam-related content
1,947 pornographic materials, of which 71.2% involved child sexual abuse.

Fahmi emphasized that the amendments empower authorities to more effectively tackle harmful content while ensuring freedom of expression is preserved under Article 10(2) of the Federal Constitution. “Freedom must come with responsibility to ensure national harmony and security,” he said.

Impact on Media Agencies and Content Providers
The amendments place additional responsibilities on media agencies and content service providers:
1. Stricter Monitoring Requirements: Media organizations must ensure compliance with the updated definitions of “grossly offensive” and “indecent content” to avoid penalties.
2. Operational and Financial Impact: The increased fines, particularly for CASP licence holders, may require significant investments in compliance systems, legal reviews, and content moderation tools.
3. Balancing Freedom and Oversight: While satire, parody, and good-faith opinions are protected, media agencies must navigate the grey areas carefully to avoid potential legal consequences.

Boosting Investor Confidence and Digital Safety
The amendments not only address cybercrime but also enhance Malaysia’s digital governance, creating a safer environment for businesses and investors. By aligning with international cybersecurity standards, Malaysia signals its commitment to tackling modern digital challenges effectively.
“The move is not just about tackling threats but also ensuring the country has a secure and well-regulated digital space to support its industrial development and economic growth,” Fahmi stated.

A Delicate Balance
The passing of the Communications and Multimedia (Amendment) Bill 2024 marks a significant step forward in Malaysia’s fight against cybercrime and online harm. While these amendments introduce stricter penalties and oversight, they also aim to balance digital freedom with the need for public safety.

For media agencies, content providers, and businesses, the evolving digital landscape requires a proactive approach to compliance, ethical practices, and content governance. Navigating these changes will be essential in maintaining trust, freedom of expression, and a safer digital Malaysia.

— AsiaNewsToday

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