I was scammed and transferred money. Can I recover it from the bank or the mule account holder?

You transferred money to what you thought was a legitimate investment, a parcel delivery charge, or a "police officer" who said your account was under investigation. Within hours, you realise it was a scam. Recovering the money is hard, but some steps improve the chances, and the first hours matter most.

What should I do first?

1. Call the NSRC on 997. The National Scam Response Centre coordinates the police, Bank Negara Malaysia, banks and the communications regulator to trace and stop funds quickly.
2. Call your bank's fraud hotline. Ask it to block your accounts and cards and to flag the recipient account.
3. Make a police report at a police station or online, with transaction references, account numbers, phone numbers and screenshots.

Scammers move money through several mule accounts quickly. Every hour of delay makes tracing harder.

Have a question about your own situation? Ask on WhatsApp

Can the money be frozen?

Under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA), an enforcement agency can issue an order to freeze property of a person under investigation where it reasonably suspects the property is the proceeds of an unlawful activity (s.44(1)). The freezing order lapses after 90 days if the person has not been charged (s.44(5)).

Cheating is an offence under the Penal Code, and money obtained by cheating is proceeds of unlawful activity.

Freezing is not repayment

A freeze stops the money from moving. It does not return it to you. The money may later be subject to forfeiture proceedings, where victims can come forward as third parties, or it may need to be recovered through a civil claim.

A civil claim against the mule account holder

The person who received your money, even if he says he only "rented" his account, may be sued to repay it. You will need to show that your money went into his account and that he had no right to keep it. A court can, in appropriate cases, grant an injunction to stop the account holder dealing with the money before trial.

In practice, the account holder may have no assets. Check whether he is worth suing before spending on litigation.

What about the bank?

Banks are regulated by Bank Negara Malaysia. If you think your bank failed to act on your report or failed to follow its security obligations, make a written complaint to the bank first. If you are not satisfied, you may be able to take the dispute to the financial ombudsman scheme or contact BNM's complaint channel.

Time limits

For a claim based on fraud, the limitation period does not begin to run until the claimant discovered the fraud or could with reasonable diligence have discovered it (Limitation Act 1953, s.29). Do not rely on this. Act promptly.

Example

A victim transfers RM30,000 to a fake investment account and calls 997 within an hour. RM18,000 is still in the first mule account and is frozen. The account holder is charged. The victim applies in the forfeiture proceedings to have the money returned and later sues the account holder for the balance.

Common mistakes

• Waiting until the next day to call 997 or the bank.
• Paying a "recovery agent" who promises to get the money back.
• Deleting chats and messages with the scammer.
• Assuming a frozen account means automatic repayment.

When to speak to a lawyer

Speak to a lawyer when a large sum is involved, money has been frozen, you are notified of forfeiture proceedings, or you want to sue the account holder. See our civil litigation page; you can also contact us.

Frequently asked questions

Will the bank refund me?

Not automatically. It depends on what happened and whether the bank failed in its own obligations. Complain in writing first.

Can I sue the scammer?

If he can be identified and has assets. Often only the mule account holder can be identified.

Someone says he can recover my money for a payment. Is this real?

Be very careful. "Recovery" offers are a common follow-up scam. Only deal with the police, NSRC, your bank and lawyers you have verified.

Sources & fact check

Legal points in this article were checked against the primary sources below. The law can change; this is general information, not legal advice.

1. Government of Malaysia portal, NSRC 997 Hotline (National Scam Response Centre)
2. National Anti-Financial Crime Centre (NFCC), About NSRC
3. Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (Act 613), AGC Laws of Malaysia
4. Penal Code (Act 574), Attorney General's Chambers Laws of Malaysia
5. Limitation Act 1953 (Act 254), including section 6, AGC Laws of Malaysia
6. Bank Negara Malaysia (Central Bank of Malaysia), official portal

Fact-checked on 18 Oct 2026