Malaysia Drafts Bill Targeting Illegal Online Gaming

Malaysia’s federal government is preparing new legislation aimed at tightening enforcement against illegal online gambling, according to Deputy Prime Minister Datuk Seri Fadillah Yusof. Lawmakers are currently reviewing the proposed bill, which authorities expect to present during the next parliamentary sitting.

Fadillah addressed the issue following a community event in Petra Jaya, where he serves as Member of Parliament. “Insya-Allah, we hope to table it in the next session of parliament,” Fadillah said on Sunday.

He framed the initiative as part of a broader effort to reduce social harm linked to unlawful gaming activity. “Illegal gambling, if left unchecked, can affect social well-being, especially among our younger generation,” Fadillah said. “That is why the government is treating this matter seriously.”

Officials are considering whether to introduce the measure as a standalone statute or integrate it within existing legislation. One possible route involves amendments under current cybercrime frameworks, including the Common Gaming Houses Act 1953.

The 1953 Act defines gaming as “the playing of any game of chance or of mixed chance and skill for money or money’s worth”. Existing penalties under that framework, as updated in 2020, include fines ranging from RM5000 to RM100,000, alongside minimum custodial sentences of six months.

Under the draft proposal, authorities would expand the powers granted to police and relevant government bodies to act against illegal operators. The government has indicated that stronger enforcement tools are necessary to address the changing nature of online gambling activity.

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Earlier this year, Home Minister Datuk Seri Saifuddin Nasution Ismail acknowledged rising concerns about illegal gambling activity, particularly in digital spaces. The Royal Malaysian Police urged lawmakers to modernise legislation to reflect technological developments such as social media promotion channels and e-wallet systems that allow rapid deposits.

Regulatory attention has also focused on online advertising. In the previous year, ministers criticised Meta over its handling of gambling-related content on Facebook. According to data from the Ministry of Communications, Facebook accounted for 93 percent of illegal gambling promotions identified in Malaysia.

While discussing the proposed bill, Fadillah said he could not provide precise data regarding the overall scale of illegal gambling activity in the country. “The important thing is, whether the cases are high or low, we must take this seriously,” he said. “The way forward is to strengthen laws so the police will have clearer powers to take action, alongside enforcement authority at the local council level.”

The draft legislation remains under federal review. Authorities have indicated that the objective is to strengthen enforcement mechanisms and clarify jurisdictional authority as digital gambling activity continues to evolve.

Source:

, igamingbusiness.com, February 19, 2026