'Give us assurances or lose our capital': Tech commune founder demands audience with PM after scrutiny
Published: Jul 17, 2026 11:04 AM
Updated: 1:47 PM
The founder of a tech commune in Forest City, Johor, which came under the authorities’ scrutiny recently, has said that a meeting with Prime Minister Anwar Ibrahim is necessary to discuss “paths forward”.
The Johor government had previously asked authorities to investigate the private residential and co-working community dubbed the “Network School” over allegations that Israelis with dual citizenship are living there.
Taking to X last night, American tech investor Balaji Srinivasan penned a lengthy post questioning whether the global tech community should continue investing in Malaysia following authorities’ crackdown on the commune.
“If Malaysia still wants continued global tech investment, if it wants to be a top-20 tech hub, and if it wants us to revitalise Forest City, then we request an audience with the Prime Minister’s Office,” Balaji said.
The meeting, he added, could facilitate discussions on the terms of a memorandum of understanding between Network School and Putrajaya, which he posited could be “similar” to the document signed between the Kazakhstan government and non-profit entity Solana Foundation.
“Specifics can of course be discussed, but we would publicly commit to abiding by all Malaysian laws - we already do - and respecting Malaysia’s sovereignty - never in question.
“Alternatively, if you don’t want our investment, or those of our colleagues at billion-dollar funds and trillion-dollar companies, we will, of course, respect your wishes and reallocate our capital to other countries instead,” Balaji detailed.
‘Fake story by anonymous internet trolls’
He further clarified that all further investment by Network School in Malaysia is on hold pending “sufficient assurance” against the recurrence of certain issues, asserting that the investment plans by other investors into Forest City have also been similarly halted.
Insisting that Forest City was unfairly targeted by a “fake story spread by an anonymous account”, Balaji said that the community’s “emerging multi-billion dollar success story” should rightfully have been hailed as a huge victory for the government’s pro-tech policies.
“To put it very plainly: we have invested over RM100 million in Malaysia, while creating jobs for dozens of Malaysians, and our faces and names are known.
“Our Malaysian executives and employees deserve the benefit of the doubt over anonymous internet trolls,” he added.
Highlighting that the Immigration Department has since confirmed that all 266 foreign nationals from 40 countries scrutinised during a recent operation at the Network School possessed valid immigration documents, Balaji said the community has vastly contributed to local industries.
“We’ve backed Malaysian tech startups like Collektr, hosted events for local teams like Superteam Malaysia, and are major customers of many local businesses like barbers, laundromats, and restaurants.
“We’ve also revitalised the multibillion-dollar Forest City project, causing millions of ringgit in real estate appreciation,” he added.
Israelis in Malaysia
The issue garnered public attention after Johor Menteri Besar Onn Hafiz Ghazi on July 14 addressed social media allegations claiming that Israelis using the passports of their second citizenship were among those living at Network School.
Johor Menteri Besar Onn Hafiz Ghazi
While Balaji appeared to indicate that the allegations were linked to the July 11 state polls, various quarters have argued that backlash against the commune can be traced back to October 2025, when Israeli content creator Nuseir Yassin, better known as Nas Daily, appeared in a promotional video for Network School.
Despite the video having since been deleted from X, tensions were again heightened in April this year after Digital Minister Gobind Singh Deo and his deputy, Wilson Ugak Kumbong, visited Network School amid a perceived lack of clarification regarding issues concerning the project.
Balaji had reportedly described Network School, which marketed itself as “Silicon Valley outside Silicon Valley” while being located “near Singapore,” as a building block towards his vision of a “network state”.
The term describes a future in which tech entrepreneurs can crowdfund a “new country” from various tech societies around the world, with “diplomatic recognition from pre-existing states” said to be the eventual goal.
Forest City developer Country Garden Pacificview Sdn Bhd has said it will “enforce its full legal and contractual rights” if probes by authorities establish any breaches involving Network School’s operations.
While Balaji appeared to indicate that the allegations were linked to the July 11 state polls, various quarters have argued that backlash against the commune can be traced back to October 2025, when Israeli content creator Nuseir Yassin, better known as Nas Daily, appeared in a promotional video for Network School.
Despite the video having since been deleted from X, tensions were again heightened in April this year after Digital Minister Gobind Singh Deo and his deputy, Wilson Ugak Kumbong, visited Network School amid a perceived lack of clarification regarding issues concerning the project.
Balaji had reportedly described Network School, which marketed itself as “Silicon Valley outside Silicon Valley” while being located “near Singapore,” as a building block towards his vision of a “network state”.
The term describes a future in which tech entrepreneurs can crowdfund a “new country” from various tech societies around the world, with “diplomatic recognition from pre-existing states” said to be the eventual goal.
Forest City developer Country Garden Pacificview Sdn Bhd has said it will “enforce its full legal and contractual rights” if probes by authorities establish any breaches involving Network School’s operations.
Go Build Network School in Isaac lah. No Issues There.
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