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The Malaysian Anti-Corruption Commission (MACC) has uncovered an alleged “protection money” network and hidden financial records linked to a well-known massage centre chain. According to Harian Metro, investigators found that the company allegedly operated a “two-tier” accounting system to conceal its actual earnings. This reportedly allowed substantial cash transactions to go unrecorded, leading to an estimated annual tax leakage of RM7.56 million. Working together with the Inland Revenue Board (LHDN), MACC focused its investigation on 32 branches that have been reporting since 2023. The probe revealed that bribes were allegedly paid to enforcement officers and local authorities to ensure uninterrupted operations. As part of the investigation, MACC froze 121 bank accounts holding about RM11.5 million. Five individuals — including company directors and senior management — were arrested in coordinated operations across Putrajaya and the Klang Valley. The suspects, aged between 30 and 50, were brought before the Putrajaya Magistrate’s Court yesterday, where Magistrate Ezrene Zakariah granted remand orders. Four suspects were remanded for four days, while one was remanded for three days to assist further investigations. The case is being investigated under Section 16 of the MACC Act 2009 for accepting gratification. So far, 12 witnesses have provided statements to the commission. MACC has also frozen and is examining luxury assets believed to be linked to the alleged offences. These include five luxury vehicles valued at RM1.5 million, five commercial properties worth RM7.3 million, seven residential units valued at RM7.7 million, and two industrial properties estimated at RM2.3 million. The total value of seized and frozen assets is estimated to exceed RM18.8 million. Investigators are assessing whether these assets were acquired using proceeds from unlawful activities. MACC Special Operations Division senior director Datuk Mohamad Zamri Zainul Abidin confirmed that investigations are ongoing, including potential elements of money laundering. The commission said it remains committed to closing enforcement loopholes that enabled such activities and is also probing the extent of the alleged protection money network involving local enforcement personnel. The massage chain is alleged to have operated all 32 outlets while evading tax scrutiny by bypassing official reporting channels. Authorities are expected to record more statements from stakeholders and employees as the investigation enters its next phase. The RM11.5 million frozen in bank accounts will remain inaccessible pending the outcome of the probe, while the company’s operations continue to remain under close scrutiny by anti-graft authorities.

A total of 71 foreign food and beverage (F&B) franchisors were registered to operate in Malaysia as at Dec 31, 2025, accounting for 42% of the 170 F&B franchisors listed on the national register, according to the Ministry of Entrepreneur Development and Cooperatives. In a written parliamentary reply published on Parliament’s website, the ministry acknowledged the challenges faced by micro, small and medium enterprises (MSMEs), particularly in the franchise sector, amid growing competition from international F&B players offering lower-priced products supported by scale and global supply chains. The ministry said only foreign franchisors that are properly qualified and able to contribute meaningfully to the national economy are approved for registration. The response was given to a question by Siti Mastura Muhammad (PN–Kepala Batas) on measures the government plans to implement to safeguard local businesses, especially domestic MSMEs, from intensified competition following the entry of foreign firms. Separately, the ministry noted that its agencies have introduced initiatives to help MSMEs expand market access, including live-streaming programmes and free studio facilities through a collaboration between Tekun Nasional and TikTok Shop. It added that these efforts are aimed at boosting entrepreneurs’ sales, alongside Pernas’s MyMall platform, which offers free online marketing space for MSME products and services.

Malaysia’s automotive manufacturing sector is seeing increased participation from local precision engineering firms as the industry shifts toward higher-value and technology-driven production, amid rising regional demand. The shift mirrors regional supply chain changes, with specialised engineering now crucial as automakers seek higher precision and faster development. Operating within this evolving landscape, CNC Innovations Sdn Bhd, a Malaysian automotive aftermarket engineering company, reflects the industry trend toward advanced machining technologies, digital engineering tools and specialised expertise to support more  complex automotive applications. Daniel Gholami, Chief Executive Officer of CNC Innovation Sdn Bhd, together with the Board of Directors of the 5th Asia Automotive Award – Thailand Chapter, underscoring collaboration between Malaysian precision engineering firms and regional automotive industry leaders. From Left : Matahari Lee, Tom Kek, Dr Por Boon Kuan, Daniel Gholami, Ong Choon Jet, Nazrul Zahri The company specialises in high-precision CNC-machined components for automotive enthusiasts, performance tuners and industry professionals. Its product range includes billet intake manifolds, performance engine components and customised precision parts developed across multiple engine platforms, demonstrating the technical versatility required in performance-oriented applications. CNC Innovations uses advanced 3-, 4- and 5-axis CNC machining centres, supported by CAD/CAM software, computational fluid dynamics analysis, and precision measurement systems. This combination allows the company to produce components with tight tolerances and consistent accuracy, which are essential for applications where airflow, material strength, and dimensional precision affect performance. Beyond machining, the company provides engineering and manufacturing support services including prototyping, engineering consultancy, laser cutting, waterjet cutting, electrical discharge machining (EDM), welding and assembly. Industry observers note that such end-to-end capabilities are increasingly common among Malaysian precision manufacturers as firms seek to offer more comprehensive solutions under a single operational structure. CNC Innovations has also gained industry recognition for its technical capabilities, including receiving the Asia Automotive Innovation Excellence Award during the 4th Asia Automotive Award. More recently, the company participated as a main sponsor of the 5th Asia Automotive Award – Thailand Chapter, reflecting the growing involvement of Malaysian engineering firms in regional automotive industry platforms. The CNC Innovation team, whose combined expertise in precision engineering, advanced machining and automotive manufacturing supports the company’s expanding presence within the regional automotive aftermarket sector. The Asia Automotive Award, now in its fifth edition, brings together automotive manufacturers, suppliers and industry stakeholders across ASEAN. Participation by Malaysian companies at regional platforms is seen as part of a wider effort to strengthen cross-border industry engagement and enhance visibility within regional automotive supply chains. Alongside technology adoption, CNC Innovations places emphasis on workforce development through continuous training and skills upgrading. The company also collaborates with local universities and technical institutions as part of efforts to maintain workforce readiness amid evolving manufacturing technologies. Quality control remains a key focus, with structured inspections at every stage from material selection to final assembly. Lean manufacturing principles are applied to maintain consistency across both customised projects and higher-volume production. As the automotive industry continues to evolve, driven by electrification, efficiency requirements and higher performance standards, specialised engineering firms are expected to play an increasingly important role within regional and global supply chains. Industry participants note that the growth  of companies such as CNC Innovations reflects  a broader shift within Malaysia’s, with  local firms moving beyond conventional machining toward more specialised, technology-driven engineering services with regional impact.

Powerwell Holdings Bhd has received a purchase order (PO) valued at RM68.47 million for works related to a data centre project in Selangor, strengthening its order book and earnings visibility. In a filing with Bursa Malaysia, the electricity distribution products manufacturer said the PO was awarded by one of the leading multinational technology corporations specialising in data centre developments. The identity of the customer was not disclosed. Under the terms of the PO, Powerwell will be responsible for the design, procurement, delivery, testing and commissioning of low-voltage switchgear systems for the data centre. These systems are a critical component of data centre infrastructure, supporting stable and reliable power distribution. The group said the PO is expected to be completed by the second quarter of calendar year 2026. The contract is anticipated to contribute positively to Powerwell’s consolidated earnings and net assets over the period from the financial year ending March 31, 2026 (FY26) through FY27. Powerwell added that it does not foresee any exceptional risks arising from the project, apart from the usual operational risks associated with contracts of this nature. The award underscores Powerwell’s continued participation in Malaysia’s growing data centre sector, driven by rising demand for digital infrastructure and cloud services.

Batik Air Malaysia plans to add 10 aircraft this year, bringing its fleet to 63 planes, as the airline accelerates network expansion, enhances operational resilience, and strengthens connectivity from Subang Airport. Chief Executive Officer Datuk Chandran Rama Muthy said the additional aircraft, comprising Boeing 737s and Airbus A330s, will support higher flight frequencies, increased standby capacity, and improved services across its regional and international network. Transport Minister Anthony Loke (third from left) poses for a group photo after the launch of Batik Air’s Fixed For Your Reunion and Smart Travel Fare Initiative at a hotel here on Tuesday. Also present were Transport Ministry Secretary General Datuk Seri Jana Santhiran Muniayan (second from left) and Batik Air chief executive officer Datuk Chandran Rama Muthy (fourth from right). “With more aircraft, we will have additional standby capacity to better manage disruptions such as adverse weather, helping reduce knock-on delays,” Chandran said during the launch of the airline’s Fixed Fares for Your Reunion campaign, attended by Transport Minister Anthony Loke Siew Fook and other senior officials. Batik Air currently operates 53 aircraft, serving 65 destinations across 20 countries. The fleet expansion is expected to underpin further growth in frequencies and services throughout the year. Chandran added that the airline is targeting an on-time performance (OTP) rate of 85% by mid-2026, building on consistent OTP levels above 70% over the past three months. “These improvements reflect operational adjustments such as better capacity planning and aircraft availability, although factors like weather and airport constraints remain beyond our control,” he noted. He emphasized that improving punctuality is part of a broader effort to reduce travel fatigue and offer safer, more reliable alternatives to road journeys, particularly during peak festive periods. Additional flights and higher frequencies on key domestic and regional routes are aimed at ensuring smoother passenger flow while maintaining service standards. The Fixed Fares for Your Reunion campaign offers passengers pre-determined fares for the Chinese New Year period, allowing families to plan their journeys with ease. One-way fares from Kuala Lumpur/Subang to Kuching start at RM318, and to Kota Kinabalu at RM378, for travel between Feb 13 and 16, 2026. Extra flights have also been added from Johor Bahru to Penang (Feb 12–14) and Sibu (Feb 13–15), with fares starting from RM388 to Penang and RM588 to Sibu, providing passengers with additional flexibility during the festive season.

U.S. memory chipmaker Micron Technology on Tuesday announced a US$24 billion plan to build a new memory chip fabrication facility in Singapore, aiming to boost output amid a global shortage. The investment comes as the chip industry races to meet surging demand for AI and data-driven applications, which has left sectors from consumer electronics to AI services facing tight memory chip supplies. A Micron logo appears in this illustration taken August 25, 2025. Micron said the new advanced wafer fabrication facility, scheduled for completion over the next decade, will focus on NAND memory chips. Production is expected to begin in the second half of 2028 in a 700,000-square-foot (65,000 sq m) cleanroom facility. Micron already produces 98% of its flash memory chips in Singapore and is building a separate US$7 billion advanced packaging plant for high-bandwidth memory (HBM) chips, used in AI applications, which is expected to start production in 2027. Analysts warn the memory shortage could continue into late 2027, despite new production lines planned by Micron and its main competitors, South Korea’s Samsung and SK Hynix. Last week, Micron revealed it is in talks to acquire a fabrication site from Powerchip in Taiwan for US$1.8 billion to increase DRAM wafer output. SK Hynix also recently announced plans to accelerate the opening of a new factory by three months and begin operating another facility in February, reflecting industry efforts to close the supply gap.

Advancecon Holdings Bhd has secured a RM82.09 million contract, boosting its order book and earnings visibility as the civil engineering specialist expands its presence in Johor’s rapidly growing industrial corridor. In a filing with Bursa Malaysia yesterday, the group said its wholly owned subsidiary, Advancecon Infra Sdn Bhd, had accepted a letter of acceptance from Southern Catalyst Sdn Bhd for earthworks, main drainage, ancillary works and related infrastructure under Phase 1 (Package 1) of the Southern Catalyst Innovation District in Kulai, Johor. The project is scheduled to begin on Feb 4 and is expected to be completed by May 4, 2027, providing revenue visibility over a 15-month construction period. Situated in Mukim Sedenak, the development is poised to benefit from increasing manufacturing activity, rising logistics demand and broader regional spillover effects. Managing director Phum Boon Eng said the contract reflects continued confidence in Advancecon’s execution capabilities and its strong track record in large-scale earthworks projects. The contract is expected to contribute positively to the group’s earnings over its duration, barring unforeseen circumstances.

Citigroup is expected to implement another round of job cuts in March, following the elimination of about 1,000 positions earlier this month, according to two sources familiar with the matter. The upcoming layoffs are likely to be announced after employee bonuses are paid. While the scale and locations of the cuts have not been disclosed, the plans have not been previously reported. Citi’s shares gained 65.8% in 2025, outperforming peers and an index tracking broader bank stocks by a wide margin. The reductions come as Citigroup chief executive Jane Fraser continues a broad restructuring effort aimed at cutting costs, addressing regulatory issues, and improving profitability to narrow the gap with rivals. One source said the March layoffs are expected to affect managing directors and other senior staff across multiple business lines. “Some senior managers have already been reassigned to different divisions to secure roles ahead of the headcount reduction,” one source said. Another source noted that many senior employees were also affected in the earlier round of cuts this month. The sources declined to be identified as they were discussing internal personnel matters. In a statement, Citigroup said it plans to continue reducing its workforce through 2026 as part of its ongoing transformation. “These changes reflect adjustments to ensure our staffing levels, locations, and skill sets are aligned with current business needs, efficiencies gained through technology, and progress in our transformation programme, which is nearing its target state,” the bank said. Citigroup chief financial officer Mark Mason said during an earnings call that the bank’s global workforce declined from 240,000 in 2022 to 226,000 by the end of 2025. He added that headcount reductions are expected to continue as the bank reassesses its expense trajectory, noting that severance-related costs totalled US$800 million last year. The latest job cuts, together with another reorganisation announced in November, represent the next phase of Fraser’s turnaround strategy. Fraser, who became CEO in 2021, received a one-time US$25 million equity award for progress on the overhaul and was elected chair of the board in October. In 2023 and 2024, Citigroup publicly announced major layoffs as it streamlined management layers and divested assets. However, the most recent reductions have been carried out more discreetly, according to a third source. The workforce cuts come as Citigroup begins to see regulatory relief. The US Federal Reserve has closed actions related to trading risk management weaknesses, while the Office of the Comptroller of the Currency withdrew a 2024 amendment to a consent order originally issued in 2020. Citigroup shares rose 65.8% in 2025, significantly outperforming peers and the broader banking sector. The bank also repurchased US$13.25 billion worth of shares last year. So far this year, Citi’s shares are down 0.8%.

Norwegian telecom group Telenor announced on Thursday that it will sell its 30.3% stake in Thailand’s True Corporation for 39 billion Norwegian crowns (US$3.92 billion or RM15.8 billion), marking its second major divestment from Asia in recent months. The news lifted Telenor’s shares by 8%. Under the agreement, Telenor will sell 24.95% of its stake to Arise Digital Technology Company, owned by Khun Suphachai Chearavanont, with the remaining 5.35% to be sold two years after the initial closing. Telenor has been a significant investor in Asian telecoms since the 1990s, building operations in Bangladesh, Thailand, Malaysia, and Pakistan. In recent years, the company has signaled openness to divestments as the regional telecom market matures. “With the completion of the sale of Telenor Pakistan in December and the agreement to sell our shares in True, we have taken major steps in delivering on our strategic plan,” Telenor CEO Benedicte Schilbred Fasmer said in a statement. Telenor’s remaining Asian assets, including a 33.1% stake in Malaysia’s CelcomDigi and a 55.8% stake in Bangladesh’s Grameenphone, could also be considered for future deals, the company said. “It’s business as usual until such time that opportunities present themselves,” Chief Financial Officer Torbjorn Wist told Reuters. He added that the group will focus on creating value from its remaining assets in Malaysia and Bangladesh while exploring potential structural opportunities over time. True Corporation, one of Thailand’s largest telecom operators, serves around 60 million customers. Telenor expects to record an accounting gain of 14.7 billion Norwegian crowns at the current exchange rate upon the closing of the initial stake sale and plans to provide further details next month on how it will use the proceeds. The divestment is expected to close within a few months and is projected to enhance Telenor’s return on capital employed while supporting the company’s strategy to concentrate more of its business in the Nordic region.

Eighteen banks are taking part in the Phase 2 Sandbox for MyDigital ID, as Malaysia tests the rollout of its digital identity system in the financial sector. The sandbox allows banks to trial MyDigital ID’s e-verification technology, which securely verifies users’ identities for account openings and real-time banking transactions. Ten banks are currently in the integration process, while two have completed it. The sandbox phase is expected to finish by March 2026, after which wider implementation will depend on each bank’s readiness. The initiative, led by MyDigital ID Sdn Bhd and Bank Negara Malaysia, follows international best practices with strong privacy, security, and audit measures to ensure a safe and trustworthy system. Phase 1 of the sandbox, completed in June 2025, involved 15 banks, with six fully integrated and eight performing electronic Know Your Customer (e-KYC) tests. The Ministry of Finance stressed that full integration will only proceed once all banks meet high standards for security and compliance.