Update On Mat Kiosk
Lyon - Tue 10/Feb/2009 9:17am [Last Comment]
Lyon - Tue 10/Feb/2009 9:17am [Last Comment]
NST Online ? Local News
2009/02/01
50 lose RM1 million to 'Mat Kiosk'; investors cry foul
More than 50 people thought they were investing in a dream machine that would give them a guaranteed monthly return, but they ended up losing more than RM12,000 each, writes SONIA RAMACHANDRAN.
IT was a dream investment, or so it was said to be, and more than 50 people took the bait, only to regret it later.
On offer, at RM43,160, was a "dream machine" touted as a "one-stop centre" where the public could pay their utility bills and even buy plane and cinema tickets.
It was almost like buying a "post office" business for a song.
The investor was promised between RM1,000 and RM4,000 monthly in commissions from the payment of utility bills, airline tickets and prepaid telephone top-ups.
After making the full payment, the investors were told to wait for 14 days for a full briefing on how the kiosk functioned and how the commissions would be paid.
However, no such briefings were held.
For George David, a telephone call and a short message service (SMS) in January last year was what prompted him and his family to attend a presentation on "Mat Kiosk" in Bangsar.
Little did the 48-year-old service engineer from Subang Jaya realise that the trip would cost him almost RM13,000.
At the presentation, which was attended by over 100 people, David and his family were told about the amazing machine called the Multi-Automated Touchscreen Kiosk (Mat Kiosk).
"A guy by the name of Aimi presented the marketing strategy and it was so convincing that even my wife, who is very careful, was convinced," said David.
A 30 per cent deposit had to be paid upon signing up for the RM43,160 Mat Kiosk.
For subsequent machines, the deposit was 10 per cent each.
They were also told where the machines would be placed and the places listed included Universiti Malaya, Universiti Teknologi Mara and Universiti Islam Antarabangsa.
The machine would be up and running within one month of the deposit being paid, they were told,
The salesman also assured the investors that there was a 14-day cooling off period during which those who were not satisfied could get their deposits back.
David was among 12 others, including professional people, retirees and unemployed, who turned up at the National Consumer Complaints Centre (NCCC) to lodge their complaints.
One of them paid the full amount and received a machine that only dispensed mobile phone top-ups. It also continuously broke down.
The lure of a free trip to Bali was probably what persuaded some to sign up for the machines.
MCA Public Services and Complaints Department head Datuk Michael Chong said he had received complaints on this scam early last year.
"The companies selling this kiosk use the names of big companies like airline companies in their promotions.
"But when I checked with the companies concerned, they did not know anything about it," he said.
One case referred to him, said Chong, involved many complainants because the first victim recruited many others to join this business.
"All these cases have been referred to the police."
=========================================
Legal action against four companies
SIX directors of four companies dealing in Multi-Automated Touchscreen Kiosks (Mat Kiosk) and vending machines were charged in court on Jan 22 for carrying out direct selling without a licence.
Domestic Trade and Consumer Affairs Ministry enforcement division director-general Mohd Roslan Mahayudin said the companies were Waterdrops Ventures Sdn Bhd, Waterdrops Holding Sdn Bhd, Waterdrops Corporation Sdn Bhd and Waterdrops (M) Sdn Bhd.
He said a person found guilty of this offence could face a sentence of up to three years jail or a fine of a maximum of RM1 million, or both.
A corporate body could be fined a maximum of RM250,000.
Roslan said there were 17 cases involving 10 companies which had been caught selling Mat Kiosks and vending machines without a direct selling licence.
"Action has been taken against all these companies. We received many complaints from the public in connection with cheating and embezzlement by the companies selling these kiosks and vending machines."
Roslan said there were 138 complaints against companies selling Mat Kiosks and vending machines between 2007 and this year.
Representatives of these companies would get people to buy the machines, with a guarantee of an income of up to RM1,000 a month.
A Mat Kiosk or vending machine costs at least RM20,000 and payment could be made with credit cards or bank loans.
"Their method of doing business is by contacting the buyer through telephone calls or by making house calls and this falls within the definition of direct selling under the Direct Sales Act 1993.
"Thus, they must have valid licences to carry out such businesses.
"However, the action taken by the enforcement division in charging these companies will not be able to help those who lost money in these scams.
"The victims also do not have a remedy at the Consumer Claims Tribunal as they do not fall within the definition of 'consumer' as they had entered into a business," Roslan said.
He suggested a tripartite solution agreed to by all parties.
This arrangement could be handled by a committee chaired by the head of the consumer protection unit in his ministry.
On banks providing credit facilities to companies without valid licences, Roslan said:
"We have been talking to Bank Negara about stopping credit facilities being extended to scratch-and-win companies. Maybe we can extend this to these kind of companies as well."
=======================================
Consumers need more protection
THE only way to stop people from being conned into making payments with their credit cards is to have connected lender liability laws.
This law will stop card companies from making payments to illegal companies, said International Association for Consumer Law deputy president Datuk Dr Sothi Rachagan.
Sothi said such laws exist in Europe where Article 11(2) of the European Union Consumer Credit Directive provides for this. In Britain, the connected lender regime was introduced by the Consumer Credit Act 1974.
Connected lender liability means that the credit card company has to ensure that a merchant or service provider which accepts a credit card payment is operating within the law and is one that gives the credit card holder a fair deal.
"A debtor (credit card holder) has recourse against a creditor (credit card company) which provides the finance for the purchase of goods and services from a third party supplier for any misrepresentation made to the debtor and for any breach of the supply agreement," Sothi said.
"The financier is jointly and severally liable with the supplier. Connected lender liability is a useful consumer protection measure, especially when the supplier proves to be recalcitrant, untraceable, or insolvent."
Sothy said the Payment Systems Act 2003, which governs the issue of credit cards in Malaysia, does not provide for connected lender liability, adding that it was time this was looked into.
Niche: Diskusi Tuntutan Dan Tribunal
2009/02/01
50 lose RM1 million to 'Mat Kiosk'; investors cry foul
More than 50 people thought they were investing in a dream machine that would give them a guaranteed monthly return, but they ended up losing more than RM12,000 each, writes SONIA RAMACHANDRAN.
IT was a dream investment, or so it was said to be, and more than 50 people took the bait, only to regret it later.
On offer, at RM43,160, was a "dream machine" touted as a "one-stop centre" where the public could pay their utility bills and even buy plane and cinema tickets.
It was almost like buying a "post office" business for a song.
The investor was promised between RM1,000 and RM4,000 monthly in commissions from the payment of utility bills, airline tickets and prepaid telephone top-ups.
After making the full payment, the investors were told to wait for 14 days for a full briefing on how the kiosk functioned and how the commissions would be paid.
However, no such briefings were held.
For George David, a telephone call and a short message service (SMS) in January last year was what prompted him and his family to attend a presentation on "Mat Kiosk" in Bangsar.
Little did the 48-year-old service engineer from Subang Jaya realise that the trip would cost him almost RM13,000.
At the presentation, which was attended by over 100 people, David and his family were told about the amazing machine called the Multi-Automated Touchscreen Kiosk (Mat Kiosk).
"A guy by the name of Aimi presented the marketing strategy and it was so convincing that even my wife, who is very careful, was convinced," said David.
A 30 per cent deposit had to be paid upon signing up for the RM43,160 Mat Kiosk.
For subsequent machines, the deposit was 10 per cent each.
They were also told where the machines would be placed and the places listed included Universiti Malaya, Universiti Teknologi Mara and Universiti Islam Antarabangsa.
The machine would be up and running within one month of the deposit being paid, they were told,
The salesman also assured the investors that there was a 14-day cooling off period during which those who were not satisfied could get their deposits back.
David was among 12 others, including professional people, retirees and unemployed, who turned up at the National Consumer Complaints Centre (NCCC) to lodge their complaints.
One of them paid the full amount and received a machine that only dispensed mobile phone top-ups. It also continuously broke down.
The lure of a free trip to Bali was probably what persuaded some to sign up for the machines.
MCA Public Services and Complaints Department head Datuk Michael Chong said he had received complaints on this scam early last year.
"The companies selling this kiosk use the names of big companies like airline companies in their promotions.
"But when I checked with the companies concerned, they did not know anything about it," he said.
One case referred to him, said Chong, involved many complainants because the first victim recruited many others to join this business.
"All these cases have been referred to the police."
=========================================
Legal action against four companies
SIX directors of four companies dealing in Multi-Automated Touchscreen Kiosks (Mat Kiosk) and vending machines were charged in court on Jan 22 for carrying out direct selling without a licence.
Domestic Trade and Consumer Affairs Ministry enforcement division director-general Mohd Roslan Mahayudin said the companies were Waterdrops Ventures Sdn Bhd, Waterdrops Holding Sdn Bhd, Waterdrops Corporation Sdn Bhd and Waterdrops (M) Sdn Bhd.
He said a person found guilty of this offence could face a sentence of up to three years jail or a fine of a maximum of RM1 million, or both.
A corporate body could be fined a maximum of RM250,000.
Roslan said there were 17 cases involving 10 companies which had been caught selling Mat Kiosks and vending machines without a direct selling licence.
"Action has been taken against all these companies. We received many complaints from the public in connection with cheating and embezzlement by the companies selling these kiosks and vending machines."
Roslan said there were 138 complaints against companies selling Mat Kiosks and vending machines between 2007 and this year.
Representatives of these companies would get people to buy the machines, with a guarantee of an income of up to RM1,000 a month.
A Mat Kiosk or vending machine costs at least RM20,000 and payment could be made with credit cards or bank loans.
"Their method of doing business is by contacting the buyer through telephone calls or by making house calls and this falls within the definition of direct selling under the Direct Sales Act 1993.
"Thus, they must have valid licences to carry out such businesses.
"However, the action taken by the enforcement division in charging these companies will not be able to help those who lost money in these scams.
"The victims also do not have a remedy at the Consumer Claims Tribunal as they do not fall within the definition of 'consumer' as they had entered into a business," Roslan said.
He suggested a tripartite solution agreed to by all parties.
This arrangement could be handled by a committee chaired by the head of the consumer protection unit in his ministry.
On banks providing credit facilities to companies without valid licences, Roslan said:
"We have been talking to Bank Negara about stopping credit facilities being extended to scratch-and-win companies. Maybe we can extend this to these kind of companies as well."
=======================================
Consumers need more protection
THE only way to stop people from being conned into making payments with their credit cards is to have connected lender liability laws.
This law will stop card companies from making payments to illegal companies, said International Association for Consumer Law deputy president Datuk Dr Sothi Rachagan.
Sothi said such laws exist in Europe where Article 11(2) of the European Union Consumer Credit Directive provides for this. In Britain, the connected lender regime was introduced by the Consumer Credit Act 1974.
Connected lender liability means that the credit card company has to ensure that a merchant or service provider which accepts a credit card payment is operating within the law and is one that gives the credit card holder a fair deal.
"A debtor (credit card holder) has recourse against a creditor (credit card company) which provides the finance for the purchase of goods and services from a third party supplier for any misrepresentation made to the debtor and for any breach of the supply agreement," Sothi said.
"The financier is jointly and severally liable with the supplier. Connected lender liability is a useful consumer protection measure, especially when the supplier proves to be recalcitrant, untraceable, or insolvent."
Sothy said the Payment Systems Act 2003, which governs the issue of credit cards in Malaysia, does not provide for connected lender liability, adding that it was time this was looked into.
Niche: Diskusi Tuntutan Dan Tribunal
1. Menovida - Fri 17/Dec/2010, 10:36am
Untuk mangsa matkiosk pada 22/12/10 jam 2 ptg ada pertemuan dengan Dato T Murugiah di Menara TH Perdana aras 41. Semua di jemput hadir. Ada perkembangan terbaru yang menarik.
Untuk mangsa matkiosk pada 22/12/10 jam 2 ptg ada pertemuan dengan Dato T Murugiah di Menara TH Perdana aras 41. Semua di jemput hadir. Ada perkembangan terbaru yang menarik.
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