
A source said the five suspects are believed to have accepted bribes from the company operating the chain of massage parlours to ease its operations and the process of applying for foreign worker permits.
The five men, aged between 30 and their 60s, were arrested yesterday evening after giving their statements at the MACC headquarters.
Three of the officers and the retiree were later remanded until Feb 2, while the other suspect was released on MACC bail.
MACC special operations senior director Zamri Zainul Abidin confirmed the arrests.
A source said MACC has recorded statements from 16 witnesses to assist in the investigation.
The agency is also believed to have raided six locations, including offices and the homes of the suspects, in the Klang Valley.
It has also frozen 124 individual and company bank accounts holding about RM13.3 million.
The massage parlour chain, which has 32 outlets nationwide and is believed to have been operating since 2023, is being investigated for allegedly practising a two-tier accounting system which has allowed it to evade up to RM7.56 million in taxes a year.
The MACC source said the chain is suspected to have paid up to RM2.7 million in bribes a year to several officers from multiple enforcement agencies, including local councils.