What Happens During a Mule Account Arrest

Being arrested is not the same as being called for a statement

Police may first send a call or letter asking you to “come to the station to assist with investigation”. That is a statement call, not an arrest. You go in and give a statement, and you may be allowed to go home while the investigation continues.

The police can still arrest you at the station.

An arrest is different. An officer has decided there are grounds to hold you, and you are not free to leave.

If you are unsure which it is, ask the officer: “Am I under arrest?” The answer changes what you should say and do next. If the police have not contacted you yet, read what to do now before you answer any call from them.

What can police do before an arrest?

A mule account case can start with a frozen account, not an arrest. Under CPC Section 116D, a police officer of Sergeant rank or above can freeze an account and block transactions at once, without a court order. ^[f1] That is why your account can be frozen before you ever hear from the police.

An arrest needs more. The officer must believe there are grounds to hold you personally. Offences such as Section 424A, 424B or 424C are “seizable”, so no warrant is needed.

Your rights the moment you are arrested

Two rights apply as soon as you are arrested. Article 5(3) of the Federal Constitution gives you the right to consult and be defended by a lawyer of your choice. ^[f3] CPC Section 28A requires police, before questioning you, to tell you that you may consult a lawyer and to allow reasonable time for the lawyer to come. ^[f4]

You must give your name, identity card number and address. Beyond that, ask for a lawyer before answering questions about the case. Our guide on account holder rights sets out these protections in full.

What happens at the police station?

After an arrest, you are usually taken to the station to be booked. The police record your details, take your fingerprints and photograph, and list the belongings they keep for safekeeping. You may be put in the lockup while the investigating officer decides the next step.

In a mule account case, this can be when CCID or JSJK, the police commercial crime department, may take over from the station where the report was made. ^[f5] The investigating officer then decides whether to release you, apply for remand or bring you before a Magistrate to be charged.

How remand works under CPC Section 117

Remand means being held in custody while the police investigate. If they need more time, they apply to a Magistrate for a remand order under CPC Section 117.

For an offence carrying under 14 years in jail, which includes s424A, s424B and s424C, the first period is up to 4 days and it can be extended once by up to 3 more days, so 7 days at most. Only offences carrying 14 years or more allow 7 days and then 7 more. ^[f2] The police cannot decide to hold you longer themselves; a Magistrate must approve each period.

You must be brought before the Magistrate in person for the remand application. This is where a lawyer makes the most practical difference, because the lawyer can question whether the grounds for remand are good enough.

What happens at the remand hearing?

The investigating officer tells the Magistrate why you need to stay in custody. If your lawyer is there in time, they can challenge those reasons and argue for a shorter period, for release, or for the case to go on without you in custody.

The Magistrate, not the police, decides, within the limits in CPC Section 117. ^[f2] A lawyer brought in early can keep your family told what is happening.

After remand: charge, release or bail

When the remand period ends, one of three things happens:

• You are released without charge while the investigation continues.
• You are charged and taken to court. Bail then matters, because Sections 424A, 424B and 424C are all bailable offences: bail is a right, though the court sets the amount and conditions. ^[f6]
• The remand is extended, but only within the legal limit.

Our bail process guide explains what happens if you are charged. The investigation and court process guide covers what comes after your first court date.

What to do right now

If you or a family member has just been arrested, contact a lawyer straight away. Do not wait until the first statement has been taken. Write down the time of arrest, the police station and, if you can, the investigating officer’s name.

Our guide on what happens after arrest sets out the timeline from here. Send a short WhatsApp message saying what happened and ask to be referred to a lawyer.

Sources

1. Criminal Procedure Code (Amendment) Act 2024, Section 116D
2. Criminal Procedure Code (Act 593), Section 117
3. Federal Constitution of Malaysia, Article 5(3)
4. Criminal Procedure Code (Act 593), Section 28A
5. Royal Malaysia Police (PDRM), CCID/JSJK Organisational Information (rmp.gov.my)
6. Low & Partners, “Keldai Accounts: When Helping a Friend Becomes a Criminal Offence” (2024)