The recent amendments to the AMLA Act 2001 mark a significant shift in the scope of enforcement powers.
Under the AMLA Act 2001, enforcement agencies including MACC are empowered to investigate, freeze, seize, and pursue prosecution under section 4(1), as well as forfeiture proceedings under section 56(1), where property is linked to proceeds of unlawful activity.
Importantly, the definition of “unlawful activity” remains unchanged. It continues to refer to conduct involving a “serious offence” or a “foreign serious offence” under section 3 of the Act.
The real shift lies in what now qualifies as a “serious offence”.
Position Prior to the Amendment
Previously, a “serious offence” was limited to: –
- offences listed in the Second Schedule;
- attempts to commit those offences;
- abetment of those offences.
This meant AMLA powers were confined to a closed list of predicate offences. The distinction between “unlawful activity” and “serious offence” was discussed by the Federal Court in JJ Power Groups Enterprise & Ors v PP [2025] 7 CLJ 378.
Position After the Amendment (Effective 1 March 2026)
The definition has now been significantly expanded.
A “serious offence” now includes: –
(aa) any offence under federal law punishable with imprisonment of one year or more.
Why This Matters?
This seemingly simple change has far-reaching consequences.
It effectively transforms AMLA from a regime tied to a specific list of predicate offences into one of general application.
Offences that were previously outside the AMLA framework may now fall within its scope. In principle, even provisions such as: –
- Section 166 of the Penal Code (public servant disobeying the law with intent to cause injury);
- Section 265 of the Penal Code (fraudulent use of false weights or measures).
may now constitute a “serious offence”, and therefore an “unlawful activity”.
The Practical Impact
This expansion means: –
- Wider investigative jurisdiction;
- Increased exposure to account freezing and asset seizure;
- Broader basis for prosecution and forfeiture.
In short, AMLA is no longer confined to traditional “white-collar crime” categories.
The risk landscape has widened.
