CYBERCRIME TRENDS IN

MALAYSIA
By
DSP MAHFUZ BIN DATOAB. MAJID
Head of Internet Crime Investigation Unit
(Cyber & Multimedia Investigations Branch)

Commercial Crime Investigation Dept.

ROYAL MALAYSIA POLICE

COMMERCIAL CRIME INVESTIGATION DEPARTMENT

DIRECTOR

WARRANT NO. 104/2004

Enforcement 1/12/2004

CP

DEPUTY DIRECTOR I

DEPUTY DIRECTOR II

DCP

PRINC. ASST. DIR.

AML DIV.

SAC I

PRINC. ASST. DIR.

INVESTIGATIONS

PRINC. ASST. DIR.

OPERATIONS

SAC II

SAC II

ASST. DIRECTOR
INVESTIGATION I

ASST. DIRECTOR
FORENSIC
INVESTIGATION

NORTHERN ZONE

FORENSIC
ACCOUNTING
INVESTIGATION

EASTERN ZONE
ASST. DIRECTOR
INVESTIGATION II

ASSET TRACING

FORFEITURE

ASST. DIRECTOR
FINANCE

INSURANCE
FINANCE

FORGERY

COOPERATIVE

MISCELLANEOUS

BANKING

ASST. DIRECTOR
CORPORATE

ACP

SAC II

ACP

ASST. DIRECTOR
OPS / TECH. ASSISTANCE

ASST. DIRECTOR
ADMIN./ INTERANTIONAL
COOPERATION

ASST. DIRECTOR

ADMINISTRATION

INSPECTORATE

OPERATIONS /
TECH. ASSISTANCE
CASE FILE
INVESTIGATION

COUNTERFIET CURRENCY

INTERNATIONAL
COOPERATION
EXHIBIT

PHOTOGRAPHY
ASST. DIRECTOR
CYBER CRIME &
MULTIMEDIA

ASST. DIRECTOR
LEGAL

INFO /COMPUTER SYSTEM/

LOGISTIC
HR/TRAINNING/
SERVICES

LEGAL ADVISOR

MACM
COMPUTER CRIME

SABAH, SARAWAK ZONE

PRINC. ASST. DIR.

LEGAL/
INSPECTORATE

CREDIT CARD
SHARES/ COMMODITIES

CENTRAL ZONE

SOUTHERN ZONE

ASST. DIRECTOR
OTHER FORGERY

PRINC. ASST. DIR

ADMIN/ RESEARCH

CORPORATE
BUSINESS
ASSOCIATION

INTERNET CRIME
COMPUTER FORENSIC
PATENT / MUSIC / FILM
COMPUTER SOFTWARE

OTHER FRAUD

OPTICAL DISK

ASST. DIRECTOR
RESEARCH/
INTELLIGENCE

HEABEAS CORPUS

INTERNATIONAL LAW
INTELLIGENCE
CRIME STATISTIC
ANALYST

LIBRARY

VISION
To investigate all Commercial
Crime Cases
Through Professional Approach,
Effective,
Fair and Trustworthy.

COMMERCIAL CRIME INVESTIGATION

DEPARTMENTS OBJECTIVES

To contain and eventually eradicate

syndicated commercial crime
perpetrators.
To conduct quality investigations and
evidence collection resulting in the
subsequent prosecution and conviction
of suspects.

CYBER & MULTIMEDIA

INVESTIGATION BRANCH
z Responsible

in enforcement of cyberlaws
z Succeeding the former Technology Crime
Investigation Unit, which existed from 1998
to December 2004.
z Combination of Computer Crime, Internet
Crime, Optical Disk and Intellectual
Property Units

Multimedia Super Corridor

z Inline

with Vision 2020

z New Technology Frontiers
z Encourage Creativity, Innovation and
Entrepreneurship
z 4 Key Elements
Leading-edge soft infrastructure
World-class IT network
MDC as a high-powered, one-stop shop
Top-quality urban development (Cyberjaya)

Multimedia Super Corridor (MSC)

Total of 1109 MSC Status Companies (14/9/2004):
i. 1060 MSC technology companies
ii. 37 Institutions of higher learning.
iii. 12 Incubator companies

World-Class Physical &

Communications Infrastructure
Developed Infrastructure
There are 5 Cyber cities within the MSC
in which the MSC-Status Company can
locate its business premise. These
Cyber cities are audited annually to
comply with a set of minimum standards
and criteria that differentiates them from
any other location. The MDC administers
the minimum standards to ensure that
MSC Cyber cities are always adopting
the latest in intelligent cities standards.
Cyberjaya
Technology Park Malaysia
UPM-MTDC
KLCC
KL Tower

Bill Of Guarantees
z
z
z
z
z
z
z
z
z
z

Provide a world-class physical & information infrastructure

Allow unrestricted employment of local & foreign knowledge
workers
Ensure freedom of ownership by exempting companies with MSC
status from local ownership requirements
Give the freedom of ownership to source capital globally for MSC
infrastructure, & the right to borrow funds globally
Provide competitive financial incentives
Become a regional leader in intellectual property protection &
cyberlaws
Ensure no internet cencorship
Provide globally competitive telecoms tariffs
Tender key MSC infrastructure contracts to leading companies
willing to use the MSC as their regional hub
Provide a high-powered implementation agency to act as an
effective one-step super shop

Cyber Laws - Legislations

Date of Royal
Assent

Date of
Publication in
Gazette

Date of
Enforcement

No

ACTS

Computer Crimes
Act 1997

June 18, 1997

June 30, 1997

June 1, 2000

Communications &
Multimedia Act 1998

Sept.23 1998

Oct 15, 1998

April, 1999

Digital Signature
Act 1997

June 18, 1997

June 30, 1997

Oct. 1, 1998

Telemedicine
Act 1997

June 18, 1997

June 30, 1997

Copyright
(Amendment) Act
1997

June 10,1997

June 30, 1997

April 1, 1999

Cyber Laws

Spirit of cyber laws?

- Laws & policies

designed to promote
commerce & new
applications in the
era of digital
information &
multimedia

Purpose of cyber laws?

- Cyber laws provide a
legal framework for
rapid development of
new multimedia
applications &
electronic business in
the MSC.

COMPUTER CRIMES ACT 1997

OFFENCES
SEC.3

Unauthorised access to computer material

SEC.4

Unauthorised access with intent to commit or facilitate

commission of further offence

SEC.5

Unauthorised modification of the contents of

any computer

SEC.6

Wrongful communication

SEC.7

Abetments & attempts punishable as offences

SEC.11

Obstruction of search

COMPUTER CRIMES ACT 1997

PUNISHMENTS
Sections

Imprisonment

Fine

Others

Not > 5 years

Not > RM 50,000

Or both

Not > 10 years

Not > RM 150,000

Or both

Not > RM 100,000;

If cause injury,
Not > RM 150,000

Or both

Not > 7 years;

If cause injury,
Not > 10 years

Not > 3 years

Not > RM 25,000

Or both

Not > 1/2 of

maximum term

Same amount as offence abetted

Or both

Not > 3 years

Not > RM 25,000

Or both

11

COMPUTER CRIMES ACT 1997

ENFORCEMENT
Section

10-Powers of
search, seizure
& arrest

Search &
Seizure

Arrest

Not < Inspector Any Police Officer

With or without -Without Warrant
warrant
(Sizeable Offence)

Computer Crime Act 1997

(Act 563)
Sec.2 Definition
Computer

means an electronic, magnetic, optical,

electrochemical, or other data processing device, or a group of
such interconnected or related devices, performing logical,
arithmetic, storage and display functions, & includes any data
storage facility or communications facility directly related to or
operating in conjunction with such device or group of such
interconnected or related devices, but does not include an
automated typewriter or typesetter, or a portable hand held
calculator or other similar device which is non-programmable or
which does not contain any data storage facility.

Computer Crime Act 1997

(Act 563)
For a device to be called computer,
it must be inter-alia, capable of
performing :1. logical,
2. arithmetic,
3. storage and
4. display functions.

Evidence Act 1950 (Act 56)

Sec. 3 - Definition

Computer means any device for recording,

storing, processing, retrieving or producing any
information or other matter, or for performing
any one or more of those functions, by whatever
name or description such device is called; &
where two or more computers carry out any one
or more of those functions in combination or in
succession or otherwise howsoever conjointly,
they shall be treated as a single computer.

SIMPLE HACKING
Section 3
Actus reus
Causes a
computer to
perform any
function

Mens rea
1st limb:
Intent to secure access
to any program or data
held in any computer
2nd limb:
Knows at the time
when he causes the
computer to perform
the function that
access which he
intends to secure is
unauthorised

SECTION 2(5)
UNAUTHORISED ACCESS
if
(a). he is not himself entitled to control access of
the kind in question to the program or data; and
(b). he does not have consent or exceed any right
or consent to access by him of the kind in
question to the program or data from any person
who is so entitled.

SIMPLE HACKING SECTION 3

Sec.2 (2) Securing access to program or data is
where the accused, by causing the computer to
perform any function.
(a)

alters or erases the program or data,

(b)

copies or moves it to any storage medium

or to different location,

(c)

uses it, or,

(d)

causes it to be output from the computer in

which it is held whether by having it
displayed or in any other manner,

Sec.2 (2)(c) uses it,

Sek.2 (3) For the purposes of paragraph (2)(c),
a person uses a program if the function he
causes the computer to perform (a)

causes the program to be executed; or

(b)

is itself a function of the program.

SECTION 2(7)
MODIFICATION
Of the content of any computer take place if, by
the operating of any function of the computer or
any other computer (a).

Any program or data held in the computer

concerned is altered or erased.

(b).

Any program or data is introduced or

added to its contents; or

(c).

Any event occurs which impairs the normal

operation of any computer

SECTION 2(8)
MODIFICATION
Any modification referred to in subsection (7) is
unauthorised if (a).

The person whose act causes it is not himself

entitled to determine whether the
modification should be made ; and

(b).

He does not have consent to the

modification from any person who is so
entitled.

New Crime - Web Defacement

www.melaka.gov.my before defacement

after defacement www.melaka.gov.my

MALAYSIAN TECHNOLOGY/
COMPUTER CRIME CASES
z E-Mail

Abuse (Malicious/ False/

Harassment/ Impersonation)
z Hacking/ Cracking. Identity Theft.
z Forgery Of Valuable Documents (Currency/
Cheques/ Passports/ I.D.s
z E-commerce Cheating
z Telecommunication Line Theft

TREND- New Millenium

9 The new millennium has created big
challenges to enforcement agencies whereby
the M.O has become more sophisticated,
9Evolution of transnational crime in a
globalised world ;
- Crime committed through internet
- Cyber terrorism
- Money laundering
- Hacking skills being combined with
criminal intent (Syndicates)
- Economic sabotage

CURRENT CHALLENGES
Advancement of ICT in the Economic Sector
Society high expectation of RMP
CCID has to change mindset in order to stay relevant
CCID to stay ahead of economic criminals
Technology becomes a tool to the criminal as well
Difficult to detect / conduct
Perishable nature of digital evidence . Paperless environment
Jurisdiction constraint
MO keeps changing
Economic activities in a globalised world are not
confined to state borders, time and distance anymore.
Criminals use this fluidity and flexibility to avoid detection
Variety/ Assortment of peripherals from different time
period (Eg. Windows 98 Windows XP etc.) including
devices

THE EXTENT OF CRIMINAL

ACTIVITIES ON CYBER CRIME
1. Downloading/ Distribution of child/ adult pornography
2. The spreading or incitement of hate propaganda/
seditious matters
3. Pyramid/ Book making schemes
4. On-line gambling/ betting. The coming World Cup
2006?
5. Credit Card/ E-Commerce Fraud.
6. Advance fee fraud
7. Evasion of sales tax
8. Extortion and information theft/ warfare
9. Cyber attack of key industries/ installations
10. Hacking/ illegal intrusions
11. Spreading of viruses/ worms/ mailbombs, now botnets
12. Spamming.
13. Online money laundering

INTERNATIONAL COOPERATION
Need for the following measures in order to limit
the proliferation of high-tech and computer
crime
z

Sharing of common database as regards to

information on crimes committed especially
identity of suspects and M.O.
Flexible bilateral and multilateral agreements
and review of laws for the persecution of
suspects across national boundaries

(Continue)
zA

concerted effort by developed countries

in promoting and fostering better
enforcement agency relationship through
meetings/ seminars/ workshops
z Constant upgrading and sharing of
investigative experience/skills among
fellow countries

FUTURE CHALLENGES
z

z
z
z
z
z

Hacking skills being combined with criminal intent

(Syndicates) such as website sabotage/ database
kidnapping or even cyber-terrorism. Eg. Botnets
E-Banking Fraud, on a more wider and systematic
scale. Attack on E-commerce websites.
Telecommunication line theft.
Criminals linked via networks, worldwide. Eg.
Cryptography
Wi-Fi implementation. Identification issue.
3G (next 3.5G) digital telephone technology The
wider and more rapid online distribution of illegal
material .
Phone Viruses: Lasco.A, Cabir.H etc.

THE CULPRITS ???

z

Current Employees
With program access/ loose or non-existent internal

security policy
Soon to be leaving employees, whether resigning or
being retrenched, with network access
z

Outsiders
Program/ System vendors, unhappy with contract

payments/ terms.
Maintenance crew.
Hackers, now using their knowledge to make a profit .
(Ex) Friends, as in the case of harassment and
blackmails
Individuals, who gain access and make unauthorized
changes through dishonest IT staff.

THANK YOU
Terima Kasih
(Questions?)