The Ministry of Domestic Trade and Cost of Living has rolled out two interim strategies to protect consumers regarding the right to claim compensation, for motor vehicle purchases, before a new legal framework related to the Lemon Law is finalised.
Its minister, Datuk Armizan Mohd Ali said the strategies include establishing a standard operating procedure to process applications for consent letters from consumers, in addition to requesting banking institutions to set up a dedicated internal unit to receive and process any such applications through a collaboration with Bank Negara Malaysia and banking institutions.
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Its minister, Datuk Armizan Mohd Ali said the strategies include establishing a standard operating procedure to process applications for consent letters from consumers, in addition to requesting banking institutions to set up a dedicated internal unit to receive and process any such applications through a collaboration with Bank Negara Malaysia and banking institutions.
WATCH MORE: https://thestartv.com/c/news
SUBSCRIBE: https://cutt.ly/TheStar
LIKE: https://fb.com/TheStarOnline
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NewsTranscript
00:00APDN is making an effort to study the legislation related to Lemon Law in our country.
00:19I have announced previously that the study should be completed in September.
00:29Now, we are in October.
00:34However, I would like to inform you today that one is a study.
00:40After the study is completed, it will go through various processes.
00:46This is because before we move forward with the legislation,
00:57the process may be until next year.
01:01So, in this period, we cannot let it be like that.
01:08Therefore, there are two interim steps that have been introduced by KPDN starting this year.
01:16One of the interim steps that I would like to announce today,
01:23the status of progress is related to strategic cooperation between KPDN and the Bank of Malaysia
01:34as well as the banking industry to help users who have filed a complaint at TTPM
01:46which previously faced the issue of consent letter.
01:50So, this year, KPDN will start strategic cooperation with the Bank of Malaysia
01:57to create a standard consent letter to facilitate our users.
02:04Alhamdulillah, I would like to inform you that on September 2, 2024,
02:11the Bank of Malaysia has issued an order to the Bank and other financial institutions
02:21to issue an SOP, Standard Procedure,
02:28to enable users to request and obtain a consent letter from this banking institution.
02:39The Bank of Malaysia has given a deadline of three months,
02:47which is as late as December 3, to all banks and financial institutions to issue the SOP.
02:57Among other things, it is to create a special internal unit to facilitate users to make the request.
03:09So, this is one of the developments of the interim solution,
03:16while we are waiting to finish the Lemon Draw.
03:22The second interim solution is initiated by the KPDN.
03:29We have set up a special audit team involving the KPDN, the authorities, industry and buyers.
03:44If there is an issue related to the purchase of this vehicle,
03:52the authorities will act as facilitators between the two parties to resolve the related issues.
04:03Indeed, we have not been able to create a conducive ecosystem
04:11and improve the laws related to the Lemon Draw in our country.
04:17However, the KPDN and the government have taken proactive steps through these two interim solutions.
04:24We have received progress related to the Lemon Law from the team that we appointed.
04:37However, we at the KPDN ask for additional research components to be seen.
04:45This is because the authorities have decided to give an additional two months,
04:54until November, to the team,
04:57to see if there are any new proposals from the industry,
05:06as well as proposals from SHOR to establish an embassy and so on.
05:14So, this is a new component that requires additional research from the team that has been appointed.
05:21So, we will give them time until November,
05:26for them to present a full report to the KPDN.
05:35So far, we hope that the users,
05:40even though there is no conclusion about the Lemon Law,
05:44but we hope that it will show two levels.
05:50First, it can also be presented to the authorities,
05:54through the Special Investigation Team that we have established,
06:00or it can also go straight to the Malaysian Customs Tribunal under the KPDN.