Kota Kinabalu: Parti Warisan claims Sabah’s tourism industry is facing serious economic leakages due to widespread illegal foreign tour operators operating across the state.
Vice President Datuk Junz Wong said the issue is no longer isolated but reflects a systemic failure affecting the wider tourism sector, including Kota Kinabalu.
“This is no longer about one district. What we are seeing is a systemic failure - Sabah’s tourism industry is being taken over by illegal foreign operators,” he said.
He said tourists continue to arrive in Sabah, but much of the revenue does not remain in the state as funds are allegedly siphoned out through foreign-controlled networks.
“Tourists are coming to Sabah, but the money is not staying here. It is being siphoned out through foreign-controlled networks,” he said.
Wong alleged that these operators sell tour packages overseas, collect payments abroad, and control key tourism services locally through proxy arrangements.
He warned that this creates unfair competition, displaces legitimate local businesses, and undermines safety and service standards.
"The laws are already there. The problem is enforcement. Illegal operators are functioning openly,” he said, adding that enforcement appears weak despite public awareness and repeated reports.
Wong called for immediate action, including crackdowns on illegal operators, stricter licensing checks, comprehensive audits, action against proxy arrangements, and deportation of offending foreign operators.
“If we do not act now, we risk losing control of our own tourism industry. This is about protecting Sabah’s economy, our businesses, and our future,” he said.