Alleged abuse at welfare homes: Malaysia firm denies wrongdoing; neighbours say kids kept to themselves
GISB Holdings has pushed back against allegations of exploitation as “malicious defamation”. Residents near one of the charity homes told CNA the children did various trades and had some “peculiar religious practices”.

The Pusat Jagaan Limpahan Kasih welfare home was closed on Sep 12, 2024. Police and other authorities raided the area the day before over allegations of child labour as well as sexual abuse. (Photo: CNA/Fadza Ishak)
KUALA LUMPUR: A Malaysian conglomerate has denied exploiting children as workers and said that it will take legal action against any “malicious defamation”, after 20 welfare homes police said were linked to it were raided over allegations of exploitation and sexual abuse involving 402 children.
However, residents near one of the homes in Puchong told CNA that they have seen the children engaged in various work and businesses, such as helping out at a stable that offers paid rides with animals and selling goat milk.
The children also kept largely to themselves, and did not seem to follow typical Islamic religious practices such as doing Friday prayers with the mosque congregation, the residents said.
On Wednesday (Sep 11), the New Straits Times reported that the welfare homes were linked to the Malaysian company Global Ikhwan Group (GISB), as confirmed by Malaysian Inspector-General of Police Razarudin Husain.
In a statement quoted by the media, Mr Razarudin said preliminary police investigations had concluded that the rescued minors aged between one and 17 years old were children of Malaysian GISB employees.
Another local media platform Utusan Malaysia reported Mr Razarudin had said police were investigating allegations that the company was involved in exploiting children, particularly to collect donations.
GISB denied that it exploited children as workers and pushed back at the allegations as malicious slander.
“We deny these allegations and stress that the company will not compromise with any activity that goes against the law, particularly regarding the exploitation of children as workers.
“We are ready to offer our cooperation to the authorities to resolve this issue”, it said in a statement released late on Wednesday.
The company also refuted allegations of involvement with sexual abuse and said the raided homes were not under its management, The New Straits Times reported.
“We will not hesitate to take legal action against any party who intentionally or maliciously defames GISB,” the news portal cited the company as saying.
The company’s officials are supposed to meet the Islamic development department (JAKIM) over claims it was involved with the deviant teachings of the banned Al-Arqam sect, according to Free Malaysia Today.