KUCHING: The Ministry of Tourism, Arts and Culture (MoTAC) has directed the immediate implementation of a mandatory bank guarantee mechanism for travel agencies offering umrah packages following the stranding of 36 Malaysian pilgrims in Madinah, Saudi Arabia.
Minister Datuk Seri Tiong King Sing said the measure is aimed at protecting pilgrims’ payments and ensuring compensation can be paid promptly in cases involving fraud, negligence or agency failure.
He said the latest incident whereby each pilgrim had paid RM7,600 in full once again necessitated the urgent need to strengthen regulatory safeguards, as the group was left without accommodation and return flight tickets as promised.
“Since last year, MoTAC has stated its intention to implement a mandatory bank guarantee as a key licensing requirement for travel agencies, particularly umrah package operators, under the Tourism Industry Act 1992 (Act 482).
“Incidents like this are not occurring for the first time; they have happened repeatedly and with such frequency that they have sparked public anger and a sense of helplessness among the victims.
“The bank guarantee is not a burden on honest operators. It is a firm step to protect pilgrims, restore public confidence and ensure the umrah and tourism industry remains safe and trustworthy,” he said in a Facebook statement.
The pilgrims, including senior citizens and children, reportedly faced financial and emotional distress and had to rely on public donations to secure their return tickets.
Tiong said MoTAC was alerted to the incident through the Malaysian Embassy in Riyadh and confirmed that all 36 pilgrims had safely returned to KLIA Terminal 2 on Jan 6.
He added that preliminary investigations found the company’s premises were no longer in operation and that several serious offences under the Tourism Industry Regulations 1992 had been identified.
“MoTAC carried out searches, recorded statements from the company and affected pilgrims, and opened an investigation paper, with a recommendation to cancel the company’s licence currently being finalised for consideration by the ministry’s top management,” he added.
Tiong said repeated cases of stranded pilgrims showed that existing enforcement measures were no longer sufficient.
From 2023 until October 2025, he said MoTAC had conducted 64 enforcement operations, resulting in the suspension of four travel agency licences and the cancellation of two others.
Despite these actions, irresponsible operators continued to exploit public trust, prompting the ministry to adopt a tougher stance.
Tiong stressed that MoTAC would not compromise with any operator found deceiving pilgrims, neglecting their welfare or damaging the country’s reputation.
He also urged the public to verify the licence status of travel agencies before making any payment and to report any irregularities promptly.
“The welfare of pilgrims and consumers remains our priority. Firm action will continue to ensure the umrah sector is handled only by operators who are truly professional, responsible and have integrity,” he said.
