From concert tickets to Pokemon cards: Scalpers beware, govt weighs curbs

PARLIAMENT | Scalpers, such as the duo who recently hired foreign workers to queue for Pokémon cards, may soon find that profiteering from other people’s patience comes at a price, with the government considering regulating scalping under the existing Price Control and Anti-Profiteering Act 2011 rather than waiting for a new standalone law.

Domestic Trade and Cost of Living Minister Armizan Ali said the proposed regulations would address several issues, including how scalping should be legally defined, the activities to be covered, controls on bulk purchases by individuals or automated bots, and whether tickets should be registered under a buyer’s name or identification document.

“At present, there are...

PARLIAMENT | Scalpers, such as the duo who recently hired foreign workers to queue for Pokémon cards, may soon find that profiteering from other people’s patience comes at a price, with the government considering regulating scalping under the existing Price Control and Anti-Profiteering Act 2011 rather than waiting for a new standalone law.

Domestic Trade and Cost of Living Minister Armizan Ali said the proposed regulations would address several issues, including how scalping should be legally defined, the activities to be covered, controls on bulk purchases by individuals or automated bots, and whether tickets should be registered under a buyer’s name or identification document.

“At present, there are no specific provisions in the law relating to scalping.

“However, the ministry is engaging with event organisers and conducting benchmarking studies with the aim of establishing a legal framework,” he told the Dewan Rakyat during question time today.

Responding to Isam Isa (BN-Tampin), who asked about ticket scalping, Armizan said the regulations could come into force as early as next year, with the drafting process expected to take at least six months.

He said the ministry could formulate and enforce the regulations under Section 15(1) of the Price Control and Anti-Profiteering Act, which empowers it to introduce rules to curb scalping.

The ministry is also studying approaches adopted in Australia, Ireland, Canada, Japan, Taiwan and Singapore, he added.

From new law to regulations

The issue has been on the government’s radar since the scramble for Coldplay concert tickets in 2023 (below), when reports of tickets being resold at steep mark-ups fuelled calls for specific anti-scalping legislation.

The problem resurfaced during subsequent major concerts, with tickets appearing on secondary markets at several times their original prices.

More recently, the ministry indicated that it was studying specific legislation to tackle scalping, including the use of automated bots to snap up tickets in bulk.

Armizan said today that bulk purchases often feed the secondary market, where tickets can be resold at inflated prices.

The ministry is also examining how existing anti-profiteering provisions, which currently require three years of sales data, could be adapted to cover one-off events such as concerts and festivals, he added.

Scalping allegations have also extended beyond event tickets to limited-edition collectables, which are snapped up in bulk for resale online at inflated prices.

Last month, The Rakyat Post reported that two individuals had allegedly hired between 30 and 40 foreign workers to queue at Toys”R”Us Sunway Pyramid on Sept 18 and purchase Pokémon Elite Trainer Boxes (ETBs) on their behalf.

The alleged scheme left regular customers out in the cold, with those who had called ahead reportedly told that no stock had arrived.

Consumer awareness campaigns

In a supplementary question, Isam asked what interim measures the government had taken while the regulatory framework was being developed, and when they could take effect.

Armizan said the ministry had been conducting consumer awareness campaigns to reduce the risk of buyers falling victim to scalping and fraud.

The ministry had also urged event organisers to voluntarily monitor bulk purchases in the absence of specific regulations, he added.

“Because there is no law at present, they have to monitor such activities themselves and voluntarily assume that responsibility as event organisers,” he said.

Armizan added that the proposed measures would not need to be tabled in Parliament if introduced as regulations.

“However, there is still a process involved in introducing the regulations. It will take at least six months. We hope that the regulations can come into effect next year,” he added.