Property Hunter Magazine August Issue 2014 | Page 32
/// West Malaysia Property News
WEST MALAYSIA
PROPERTY NEWS
Sharing news and information about various issues
related to the property industry from Peninsular Malaysia.
House Buyers Urged to Take Action Against Bogus Realtors
“Please do lodge a police report if
you come across unlicensed estate
agents to send a clear message that
they have broken the law and that
they are not tolerated,” he said in a
press conference today (June 20).
Jagdeep was responding to
Malaysian Institute of Estate Agents
(MIEA) president Siva Shanker
who said in his speech earlier that
despite having a law passed against
unlicensed estate agents in 1981, no
one has ever been charged for the
offence.
Real Estate Negotiator ID tag issued by
The Board of Valuers, Appraisers and
Estate Agents Malaysia
The Penang government urged
house buyers and realtors today to
help crack the whip on unlicensed
agents, citing concern that despite
countless complaints against the
illegal business, no one has been
hauled to court before.
Jagdeep Singh Deo, state executive
councilor in charge of housing, said
those who encounter such bogus
agents must immediately lodge
reports to the police to prevent
them from cheating more home
buyers.
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Unlicensed estate agents who
broker properties illegally could
be charged under the Valuers,
Appraisers and Estate Agents Act
1981.
Under Section 30 of the act,
offenders are liable to a fine
not exceeding RM300,000 or
imprisonment not exceeding three
years or both, upon conviction.
Siva said many home buyers have
complained to MIEA of these bogus
estate agents accepting down
payments for properties from them
and then absconding with the
money.
“We have come across many such
cases of these illegal estate agents
profiteering through misconduct
practices such as charging
commission that are higher than
the maximum three per cent we are
allowed,” he said.
He also declared a “war against
illegal estate agents” during his
speech at the opening of the
Malaysian Secondary Property
Exhibition (MASPEX) Penang 2014
here.
He said these illegal estate agents
have been a thorn in MIEA’s side due
to their illegal activity as they are not
regulated by any formal body unlike
licensed estate agents.
“We are not talking about going
against one-off deals such as when
someone helps a friend to sell his
property for a fee but we are talking
about structured groups conducting
real estate businesses that are not
legally registered,” he said.
Siva said these illegal groups
conduct the real estate business
adhering to any regulation, such
as taking higher commissions than
allowed, refusing to refund deposits
or miscalculating assets valuation.
“This is why we started a nationwide
RM1 million awareness campaign to
tell house buyers to beware of illegal
estate agents,” he said.
He added that the MIEA had
previously forwarded its complaints
to Putrajaya but no action was taken
against these illegal agents.
All qualified and licensed estate
agents are currently required to
register with the MIEA to get an
official tag to prove that they are
legal.
“More than 10,000 tags have been
issued so home buyers must be
careful to only purchase properties
through agents who have valid tags,”
he said.
Jagdeep was responding
to Malaysian Institute
of Estate Agents (MIEA)
president Siva Shanker
who said in his speech
earlier that despite
having a law passed
against unlicensed estate
agents in 1981, no one has
ever been charged for the
offence.