[10] The movement began as a small group that established a relatively isolated, self-sustaining community practising strict adherence to Islamic principles and developing a home-based economy.

[1] Founded in 1968 by Ashaari Muhammad, a former government religious teacher, the movement's early days were marked by a halaqah (study circle) in Kampung Datuk Keramat, a Malay suburb of Kuala Lumpur.

[12] The village housed a mosque, school, dormitories, offices, and shops, serving as the central hub for Al-Arqam's expanding missionary and economic activities.

Religious authorities condemned Al-Arqam’s teachings, particularly the belief that Ashaari Muhammad was the prophesied Putera Bani Tamim, a figure said to assist the Mahdi in establishing a just Islamic order.

[18] This eschatological claim, combined with the belief in the reappearance of Sheikh Muhammad Abdullah Al-Suhaimi as the Mahdi, led the authorities to classify the movement as deviant.

[21] Founded by Ashaari in Bandar Country Homes in Rawang, Selangor, the organization operated 80 businesses in Malaysia, including mini markets, cafeterias, herbal products, tourism, advertising, furniture, clinics, electronics, multimedia, childcare centres, and publishing.

The group was officially banned in December 2006, with Prime Minister Abdullah Ahmad Badawi stating that legal action would be taken against any efforts to revive the movement.

[citation needed] In September 2024, a child sex abuse scandal emerged involving orphanages operated by GISBH in the states of Selangor and Negeri Sembilan.