KUALA LUMPUR, July 14 (Reuters) - Malaysia's Home Affairs Ministry is investigating a co-living community for digital nomads, The Network School, founded by former Coinbase chief technology officer Balaji Srinivasan, following allegations that it hosted Israeli nationals in violation of immigration laws.
Malaysia, a staunch supporter of the Palestinian cause, does not have diplomatic relations with Israel, and Israeli passport holders are barred from entering the country. However, individuals with dual citizenship may travel on non-Israeli passports.
The Network School, established in 2024, is described as a community for "techno-optimists" aiming to create "physical startup societies." Social media posts and press reports indicate its location in Forest City, a large development on reclaimed land in Johor state, near Singapore.
Johor Chief Minister Onn Hafiz Ghazi urged authorities to investigate claims that the commune hosted Israelis entering on second passports. State agencies will also review the commune's adherence to local regulations, including licenses and business activities.
The Home Affairs Ministry confirmed that the immigration department, police, and other agencies are involved in the investigation. The probe aims to identify the individuals, their nationalities, the travel documents used, and their purpose of entry. The ministry stated that strict action would be taken against any violations of law, misuse of immigration passes, or offenses affecting national security.