We look at what the The Malaysian Institute of Professional Estate Agents and Consultants (MIPEAC) are saying on the issue of PropTech companies allegedly performing illegal real estate brokering. It urged these PropTech companies to comply with existing legislation.
Article in edgeprop.my MIPEAC President Francis S P Loh said: “It is imperative that any PropTech firm wishing to operate in Malaysia be registered and legitimised by the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP).”
“In fact, even if you imply you are a property agent by referring to yourself as an ‘Estate Agent’, ‘House Agent’, ‘Property Agent’, ‘Land Agent’, ‘House Broker’ or similar, or share any marketing materials that imply you are a property agent – you would have committed an offence under the governing Act – Act 242 [Part VIII, Section 30(2)(b)],” he pointed out.
“MIPEAC believes that existing legislation is in place to ultimately protect the interests of the public. Therefore, any innovation is required to comply with regulations to ensure the sustainable growth of the industry,” he added.
Recent legislative amendments to Act 242 (Part VIII, Section 30) states that any person who acts as an estate agent, whether the primary or principal object of his business is estate agency or impersonates a registered estate agent, is deemed as committing an offence. Such an offence will lead to a fine not exceeding RM300,000 or imprisonment for a term of up to three years, or both.
MIPEAC also proposed that BOVAEP be empowered with enforcement and prosecution powers to further tackle the risk posed by unlicensed and unregulated firms. Do refer to the full Article in edgeprop.my
Article written and edited by Charles. News article summarised by Dina Batrisyia.
<Featured Image is courtesy of Stock Photos from goodluz >
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