The global business network behind youth “houses of horror” in Malaysia

AND Malaysian The conglomerate, which is under investigation for child molestation and money laundering, evaded authorities for years by hiding behind a thriving global Islamic business network, according to police and the company’s now-defunct website.

Horrific allegations of child sexual assault came to light in September, when police first rescued more than 400 young people from care homes run by Global Ikhwan Services and Business (GISB).

Malaysian police chief Razarudin Husain said at least 13 young people under the age of 17 were victims of sexual abuse in what the media called “houses of horrors”.

The group operated more than 100 Muslim-majority nursing homes in Southeast Asia, where children were placed as young as one year old.

“They are basically exploiting religious beliefs and that is not unusual. Many cults operate this way… It’s a form of social engineering,” Munira Mustafa, executive director of security consultancy Chasseur Group in the capital Kuala Lumpur, told AFP.

“They are simply very adept at exploiting potential weaknesses that exist in society. It’s that simple,” she added.

NEWSLETTER FOR YOU

Friday, 8.30

Asian business

Business insights focusing on the rapidly growing economies of Southeast Asia.

A total of 625 children were rescued and 415 people arrested as a result of large-scale police raids that paralyzed the company’s operations.

On Wednesday (October 23), the company’s CEO Nasiruddin Ali, his wife Azura Yusof and 20 senior management members were charged with belonging to an organized criminal group.

Several other people were charged with intimidation and child abuse.

Authorities seized properties and frozen bank accounts related to GISB worth nearly $4.6 million. They also began investigating 23 properties worth $12.11 million in 10 countries.

Police said investigations into money laundering, deviant religious teachings and militant indoctrination were ongoing.

GISB initially denied the allegations after raids in Selangor and nearby Negeri Sembilan state.

Nasiruddin later admitted in a Facebook post that there had been “one or two cases of sodomy” in shelters, but denied that abuse was widespread.

Defense lawyer Rosli Kamaruddin said she would ask the attorney general to reconsider or drop Wednesday’s charges.

From its headquarters in a quiet suburb, GISB has built a network of companies in 20 countries – including Australia, China, France and the UK, according to its website, which is no longer available.

The companies targeted Muslim customers of the GISB chain of supermarkets, restaurants and travel agencies.

According to its website, before the scandal, the company had assets worth a total of $75.6 million.

Founded in 2010, GISB has long been controversial for its links to the now-defunct Al-Arqam sect, which is under the scrutiny of religious authorities in Malaysia.

Al-Arqam, founded by the late Ashaari Muhammad in 1968, was banned by authorities in 1994 for teaching deviant teachings.

In 2011, GISB members founded the “Obedient Wives Club”, which called on women to be “whores in bed” to stop their husbands from straying.

Ashaari’s daughter Khaulah – who is also a member of GISB – stated that the group eschewed anti-Islamic practices.

Malaysian Home Affairs Minister Saifuddin Nasution Ismail told parliament this month that practices “related to (banned) sciences… continue to be practiced by those we have detained and investigated.”

Children in GISB-run care homes were subjected to harsh punishments, such as humiliating exercises, even for minor offenses.

“Not 100, but 500 times if they didn’t line up properly while waiting for their food,” Saifuddin said.

Minister of Religious Affairs Mohd Na’im Mokhtar said GISB members believe they will be blessed in the afterlife for their faith in Ashaari, who died in 2010.

“They practice seeking Allah’s blessings through the water used to wash the hands, handkerchiefs and clothes of the leaders, as well as the water used to soak their clothes, hair, beard and blood from the cups of the leaders and former leaders,” Na’im said in parliament.

Na’im said followers who leave the group are not allowed to meet with family members.

“Followers are asked to sacrifice and toil without compensation for GISB, while leaders live in luxury, fully supported by the organization.”

Meanwhile, the rescued children were reported to have watched militant films, prompting police to investigate GISB for extremist indoctrination.

Singapore-based terrorism expert Rohan Gunaratna told AFP that “if religious extremism is not controlled, it leads to violence and terrorism.” AFP