ISKANDAR PUTERI: Local business owners who abuse their licence by renting it out to foreigners will be blacklisted and have their licences cancelled.
The Johor state government initiated the stringent measure to regulate illegal foreign business ownership and to curb unwanted activities.
Johor Housing and Local Government Committee chairman Datuk Mohd Jafni Md Shukor said a directive was circulated to all the 16 local authorities state-wide to take to the field and check on the licence validity, especially on businesses operated by foreigners, suspected to be migrants.
Local authorities do not issue business licences to foreigners, which include licences to operate hawker centres, convenience stores, eateries, car workshops or night market premises under the Small Traders Act.
Jafni said the local authorities have started to seize items at premises run by such unscrupulous businesses, especially stalls managed by foreigners.
Premises owned and managed by local authorities are currently undergoing a whitelisting process to prevent foreigners from abusing the business licences issued to local traders.
Those found misusing the licences will see their business licences cancelled and names blacklisted, while their trading equipment will be seized.
"We have also requested all local authorities to increase periodic operations with the police and the Immigration Department to curb foreign traders, including in markets, as they are jeopardising the livelihoods of local traders.
"Foreign traders, especially in markets, sell fresh produce cheaper by a RM5 margin compared with local traders.
"They (foreign traders) do not have overhead costs like the locals as they conduct their business illegally," he said.
Jafni also said that the Johor state government had raised the issue of businesses being run by foreigners using the names of locals through marriage to the Housing and Local Government Ministry.
He said the issue was raised so that certain procedures and controls could be formulated by the ministry to prevent business licences from being misused by foreigners to conduct business in the country.
