A police raid in Kajang that was initially presented as an anti-scam operation has now turned into a major internal misconduct case, after 12 police officers were arrested over allegations that they extorted cryptocurrency from foreign nationals during the raid.

At the centre of the allegation is a claim that the officers demanded digital payment in exchange for releasing the occupants, despite reportedly finding no clear evidence of criminal activity during the search.

What allegedly happened on 5 February

According to reports, the incident took place on the night of 5 February at a double-storey bungalow in Kajang. A team of officers arrived and allegedly introduced themselves as part of an anti-scam operation, said to be codenamed "Op Taring."

The occupants were reportedly told they were being investigated for online fraud linked to a Cambodia-based syndicate. But the individuals involved denied this claim, and one of them later lodged a police report stating that they were not involved in any illegal activity.

Who the occupants were and why they were in Malaysia

The group involved were reportedly Chinese nationals, described as market surveyors working for a China-based company. Reports indicate there were eight individuals in total, consisting of five men and three women, ranging from their mid-20s to mid-40s.

They had entered Malaysia between 27 and 30 January, and for many of them, this was their first visit to the country. Their lawyer also reportedly said the trip was arranged by a local company for business discussions, which aligns with the group's claim that they were here for legitimate work-related reasons.

"Pay or we act": the alleged demand for crypto

This is the part that has turned the raid into a criminal investigation.

Sources say the officers inspected passports and electronic devices but did not find incriminating evidence. Despite that, the occupants were allegedly threatened with arrest and immigration consequences unless they paid a large sum.

The reported demand began at RM400,000, but later shifted into a crypto transfer. Ultimately, the group allegedly transferred around US$50,000 (about RM200,000) in Tether (USDT) to a wallet address provided by the suspects. The transfer was said to have happened in the early hours of the morning.

After the transaction was confirmed, the officers reportedly left. The occupants were also allegedly warned to vacate the house within two days or face further action.

How the case unfolded after the report was made

A report was then made to police on 6 February, which triggered a formal investigation and a string of arrests.

The arrests reportedly happened in phases, starting with seven officers and followed by five more, bringing the total to 12. Investigators also seized items such as mobile phones, SIM cards, and documents believed to be linked to the incident.

Notably, the arrested officers weren't all at the same rank level. Reports describe the group as ranging from a constable to an assistant police superintendent, aged 24 to 47, with service records spanning two to 27 years. Authorities also believe all suspects were present during the raid.

Police response and the legal angle

Selangor's police leadership has publicly confirmed that a report was received and that swift action was taken. The message from the top was also clear: misconduct within the force will not be tolerated.

The case is reportedly being investigated under Sections 395 and 397 of the Penal Code, which relate to gang robbery and robbery with weapons. If convicted, the accused could face lengthy prison terms of up to 20 years and caning, depending on the final findings and whether the alleged facts are proven in court.

Why this case is raising eyebrows

Even before any court outcome, the allegations are disturbing because they touch on a few sensitive pressure points at once.

First, it's the idea of a raid being used as leverage, where authority and fear of arrest or immigration trouble can become a tool to force payment. Second, it shows how cryptocurrency can be exploited in crimes precisely because it can be transferred quickly and across borders. And third, it risks damaging public trust, especially when the accused are people expected to enforce the law.

For now, the key facts will depend on the investigation trail, including device records, wallet transfers, communications, and the credibility of statements from everyone involved.