Malaysia and Singapore have launched intensified investigations into the shipment of AI hardware as authorities probe potential circumvention of U.S. export restrictions on China. In Malaysia, the Ministry of Investment, Trade and Industry is examining whether Speedmatrix, a subsidiary of the Singapore-based firm Megaspeed, re-exported AI processors and servers imported for local data centers. This investigation follows July 2025 regulations requiring permits for the export, transit, and trans-shipment of advanced U.S.-developed AI accelerators. While Prime Minister Anwar Ibrahim stated there is currently no evidence that Megaspeed-related hardware has left the country, he pledged to cooperate with international investigators.
Megaspeed announced on November 12 that it has hired a U.S. law firm to conduct a comprehensive inventory of its AI GPUs and to independently assess compliance with U.S. export-control regulations. The company confirmed it is cooperating with inspections by the U.S. Department of Commerce's Bureau of Industry and Security and is prepared to work with other U.S. agencies. Megaspeed CEO James Tan Yong Pong stated that compliance with U.S. export rules and transparent operations remain a priority for the company, though the firm has not disclosed its specific GPU models or the findings of the Bureau of Industry and Security inspections.
In Singapore, prosecutors have brought 41 criminal charges against Shi Bingzhe, a 34-year-old Chinese national and former executive at Superphi and NJ Global Financial. Authorities allege that between May 2024 and February 2025, the two companies purchased 917 servers containing restricted Nvidia hardware from Aperia International through 41 transactions. Prosecutors claim the companies had reason to believe the servers were linked to criminal activity. Shi faces up to 10 years in prison and a fine of S$500,000 per charge if convicted.
The Singaporean case is part of a broader investigation involving five individuals and six companies. In July, four firms—Aperia International, A-Speed Infotech, Aperia Cloud Services (II), and Luxuriate Your Life—were charged with allegedly making false claims during server purchases. Authorities have frozen a property valued at approximately S$55 million and confiscated S$1 million from bank accounts as part of the probe. Shi's next court appearance is scheduled for January 4, 2027.
