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Different country policy and legal rules

  • #1
  • First Post: May 24, 2012 1:39am May 24, 2012 1:39am
Hello, I am from Malaysia. I open this thread because I would like to discuss about different country policy and legal rules about forex, especially in Malaysia.

As I know, any funds (more than 8000 usd) from foreign country deposited to Malaysia bank, Central Bank of Malaysia will freeze the recipient bank account for investigation. Even sometime the recipient takes forex statement to prove, they still freeze the bank account.

Could anyone give suggestion about this issue?

How about the tax they charge for forex profit?

How about other countries?

Any suggestions are much appreciated, thank you.
  • #2
  • May 24, 2012 11:03pm May 24, 2012 11:03pm
1. I think a lot of your concerns (if not all) will already have been covered to a large extent in this thread (to be read from start to finish in chrono order):

http://www.forexfactory.com/showthread.php?t=214133

2. As to your assertions that M'sian bank accounts are being frozen when receiving deposits greater than X amount, I've never experienced such a thing myself (being a M'sian resident myself). Is this something you have experienced yourself, or is this based on what you heard?

3. (I hope you have heard of AMLA rules pertaining to money laundering prevention that may be what is in effect in the situation you described. Perhaps, the depositor did not fit a usual "customer profile" that the Bank has decided to investigate?)

4. re: tax on forex profit, as far as I know, such profits are classified as offshore capital gains not taxable in most countries. You may wish to check with a tax adviser. I cannot give an opinion as my taxpayer profile is rather unique to my circumstances.

5. For further information, you may find it helpful to Google the terms "Sovereign Man" and "Q Wealth Report", and subscribe to the aforementioned newsletters for more information.

Hope that helps you on your way.
I'm not trying to convince anyone. I'm not in the "convincing" business.
  • #3
  • May 25, 2012 12:21am May 25, 2012 12:21am
Quoting skenobi
1. I think a lot of your concerns (if not all) will already have been covered to a large extent in this thread (to be read from start to finish in chrono order):

http://www.forexfactory.com/showthread.php?t=214133

2. As to your assertions that M'sian bank accounts are being frozen when receiving deposits greater than X amount, I've never experienced such a thing myself (being a M'sian resident myself). Is this something you have experienced yourself, or is this based on what you heard?

3. (I hope you have heard of AMLA rules...

Thanks for your explanation. Regarding your question 2: Last week, my friend withdrew USD8,000.00 from Fxopen via Telegraphic Transfer to his Maybank account. After the funds reached his account, his account being frozen by Central Bank of Malaysia. Even he took forex statement to prove, they still freeze the bank account. They only said that his account still under investigation.
  • #4
  • May 25, 2012 3:11am May 25, 2012 3:11am
Quoting klhh
Thanks for your explanation. Regarding your question 2: Last week, my friend withdrew USD8,000.00 from Fxopen via Telegraphic Transfer to his Maybank account. After the funds reached his account, his account being frozen by Central Bank of Malaysia. Even he took forex statement to prove, they still freeze the bank account. They only said that his account still under investigation.
1. I don't have an opinion about your friend as I don't have enough information about him, nor do I think even you know enough about your friend.

2. A few (of many) possibilities:

 

  1. Maybe your friend did not fit a "customer profile" that befits his standing for him to receive those kinds of amounts. Be aware that banks have internal KYC (Know Your Customer) policies that require them to report dodgy irregular transactions. Key word here is "irregular".
  2. Maybe your friend was already under watch from the beginning under suspicion for receiving deposits without a license i.e. they would have watched him from the first day he opened his margin account and traced the source of the original margin deposit.
  3. Maybe FX0pen was under suspicion of facilitating money laundering, and your friend was just unlucky.

3. Your friend will probably never know the real reason for the freeze.



4. I have dealt with amounts in many multiples of your friend's amount, using much more reputable outfits than your friend's broker, and I've never had any problem. I hope you will not assume that USD8000 is some kind of benchmark level for the authorities to check. There is none. (If you're looking for a "relatively" reputable broker, you should just check out FF's broker page.)

5. These rules you are facing are quite common in most so-called advanced economies, even the U.S., believe it or not. So this is not specific to M'sia only.

I'm not trying to convince anyone. I'm not in the "convincing" business.
  • #5
  • May 27, 2012 11:40pm May 27, 2012 11:40pm
Quoting skenobi
1. I don't have an opinion about your friend as I don't have enough information about him, nor do I think even you know enough about your friend.

2. A few (of many) possibilities:
[list][*]Maybe your friend did not fit a "customer profile" that befits his standing for him to receive those kinds of amounts. Be aware that banks have internal KYC (Know Your Customer) policies that require them to report dodgy irregular transactions. Key word here is "irregular".[*]Maybe your friend was already under watch from the beginning under suspicion...
May I know what broker you using please?
  • #6
  • Last Post: May 28, 2012 1:25am May 28, 2012 1:25am
Quoting klhh
May I know what broker you using please?
I PM'd my answer to you. Would prefer not to go on record as endorsing any particular broker.
I'm not trying to convince anyone. I'm not in the "convincing" business.
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