The government welcomes the proposal for an Unexplained Wealth Order (UWO) but is not yet ready to implement it, says finance minister II Amir Hamzah Azizan.
Bernama reported Amir as saying that the government would first study the relevant issues involved before making any decision.
“We will consider any well thought out ideas before implementing anything.
“I have received the proposal and we will examine it thoroughly to understand the related issues as we want to avoid any unintended consequences,” he told reporters after officiating the 2025 National Tax Conference in Kuala Lumpur.
The proposal for an UWO was made by former Klang MP Charles Santiago, who said it could help tackle illicit wealth and systemic corruption among the elite.
Citing official estimates, Santiago said Malaysia lost RM277 billion to fraud, procurement abuse and illicit flows between 2018 and 2023, or RM55 billion annually. He said the money could have funded schools, hospitals and food aid.
He said the UK, under its UWO model, recovered £62.9 million (RM390 million) in a single year through the order and related civil actions.
UWOs allow the authorities to compel individuals to explain how they acquired assets that appear disproportionate to their known income, even without a completed criminal case.
Malaysia does not currently have such a UWO framework.
The existing laws, such as the Malaysian Anti-Corruption Commission Act and the Anti-Money Laundering Act, allow investigators to request for asset declarations and freeze accounts, but only after a case has been opened.
