Malaysian authorities have intensified efforts to safeguard homebuyers by cracking down on unethical property developers. The Housing and Local Government Ministry recently blacklisted 109 firms for regulatory violations, barring their directors from forming new companies to circumvent penalties. Minister Nga Kor Ming announced the measure during the 14th Annual Affordable Housing Projects Conference, emphasizing the list’s public availability on the ministry’s website for consumer verification.
Offending developers face compound fines and licensing restrictions until they rectify violations and settle penalties. Those with active projects won’t receive approval for new developments, preventing further consumer exploitation. “This decisive action serves as both protection for buyers and a warning to the industry,” Nga stated, underscoring the ministry’s zero-tolerance approach to non-compliance. Regulatory breaches, particularly delayed financial and progress reports, dominated the offenses.
Enforcement data reveals substantial penalties imposed on violators. Authorities issued 471 notices in 2024, accumulating RM9.3 million in fines, followed by 56 compounds worth RM1.25 million in early 2025. Nga advised prospective buyers to consult the ministry’s official portal (teduh.kpkt.gov.my) to confirm developer credentials before purchasing. The move aims to foster transparency while maintaining Malaysia’s housing sector reputation, recently recognized at the FIABCI World Prix d’Excellence Awards.
The minister reiterated the government’s dual strategy of punishing malpractice while rewarding compliant developers. “We celebrate industry excellence but will rigorously eliminate bad actors,” he affirmed. This balanced approach seeks to preserve market integrity and consumer trust, ensuring Malaysians invest in homes without fear of developer misconduct.