Some foreign street vendors plying their trade illegally in KL

FOREIGN street vendors are a common sight around Kota Raya Complex, Jalan Petaling and Leboh Pudu, all located in the heart of Kuala Lumpur city centre.

The area outside Kota Raya, from the steps leading down to the bus stop, walkway and beneath the bridge linking to Chinatown are a hive of activity on weekends as traders take advantage of the large crowds to do brisk business.

Kuala Lumpur City Hall (DBKL) said it had been carrying out enforcement in these areas.

“Apart from confiscating their goods, we cannot arrest anyone operating illegally,’’ said a DBKL spokesperson when contacted.

Up to September this year, 570 fines were issued and 220 licences cancelled.

DBKL had previously identified 20 types of businesses that foreigners were barred from.

This ruling was introduced in July 2020, and still stands today (see graphic).

Foreigners are prohibited from applying for a licence to open a hypermarket, supermarket, mini mart, sundry shop, 24-hour-convenience store, petrol station and laundry service.

This also includes foreign partnerships, where one spouse is a foreigner.

However, those already operating such businesses prior to the ban can continue to do so.

There are two types of licences issued by DBKL – premises and business – under the Licensing of Trades, Businesses and Industries (Federal Territory of Kuala Lumpur) By-laws 2016 (UUK20) and Licensing of Hawkers and Food Placement (Federal Territory of Kuala Lumpur) By-laws 2016 (UUK22) respectively.

Under UUK22, local traders are not allowed to hire foreign employees to manage their stalls, and this extends to husband-and-wife partnerships where one spouse is a foreigner.

This rule encompasses hawkers and traders operating in markets, food courts, night markets and roadside stalls.

For UUK20 or the premises licence, a foreigner is allowed to do business and hire a foreign helper as long as the worker has a valid working permit and the business is registered with Companies Commission of Malaysia (SSM).

Premises licence holders are those running businesses in shoplots, department stores and shopping centres.

In a raid on Oct 11, about 44 premises in Jalan Kenanga were sealed for violating Section 101(1) (v) of the Local Government Act 1976.

“The activities were being carried out by foreign nationals, many of whom had no valid documents,’’ said the spokesperson.

A total of 51 notices were issued for various offences pertaining to licence infringement.

A total of 29 foreigners comprising 22 from Bangladesh, Indonesia (three), Pakistan (three) and Myanmar (one) were arrested under the Immigration Act 1956 during the raid.