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MEDIA STATEMENT BY YB DATO MOHD JAFNI BIN MOHD SHUKOR, CHAIRMAN OF THE JOHOR STATE HOUSING AND LOCAL GOVERNMENT COMMITTEE REGARDING INTEGRATED OPERATIONS IN CONTROLLING FOREIGN BUSINESSES BY 16 JOHOR STATE LOCAL AUTHORITIES
Following the integrated operation of business activities conducted by foreigners carried out by the Kulai Municipal Council (MPKu) in collaboration with the PDRM, the Companies Commission of Malaysia (SSM), and the Johor State Ministry of Domestic Trade (KPDN) in the Kulai area, a total of seven (7) business premises have been ordered to close immediately.
This action was taken because they were found to be running a business without a license and violating the conditions set out under the Trade, Business and Industrial Licensing Act (MPKu) 2019. In addition, two (2) business premises have also been confiscated for operating without a license.
Three (3) License Cancellation Warning Notices were also issued to premises owners who violated license conditions, demonstrating our commitment in ensuring compliance with the laws imposed on business operations. SSM has also imposed three (3) compounds for various offenses under the Business Act 1956 and the Companies Act 2016.
I would like to emphasize that in an effort to regulate businesses run by foreigners and ensure compliance with local laws, 16 Local Authorities (PBT) in the State of Johor have launched an Integrated Operation.
This operation aims to protect the interests of local traders as well as ensure fair and equitable competition in the business sector.
The objective of the Operation is to monitor aspects of Legal Compliance to ensure that all businesses run by foreigners have a valid license and comply with the rules set by the PBT. In addition, it is also to take strict action against any business that violates the law and regulations.
This operation also plays a role in raising awareness and providing information and education to traders about the responsibilities and implementation of business regulations in Johor. At the same time, this operation is to protect the interests of local traders and ensure that there are no unethical practices in the market. This operation involves collaboration between 16 PBTs in the state of Johor, including the Malaysian Immigration Department, the Ministry of Domestic Trade and Consumer Affairs and the Royal Malaysian Police.
Steps have been taken in the implementation of this operation which are inspections on premises operated by foreigners simultaneously throughout the PBT, review of business documents and licenses to ensure validity and compliance and distribute leaflets and information to traders on the procedures that need to be followed.
In the operation carried out in December 2024 recorded 12 Premises Closure Cases, 52 Seizure Cases, 3 Notices and 35 Compounds with a value of RM 30 thousand.
While the January 2025 Operation recorded 8 cases of premises closure, 75 cases of confiscation, 21 notices and 17 compounds with a compound value of RM 12 thousand.
Action has been taken against traders found to be breaking the law, including fines and immediate closure orders.
Johor Local Authority
PEJABAT PENGERUSI JAWATANKUASA PERUMAHAN DAN KERAJAAN TEMPATAN NEGERI JOHOR

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