Hadith11 Mawdu' (False Hadith) are created hadith that were claimed to have been delivered by the Prophet (p.b.u.h). They include his supposed speeches, deeds, declarations and everything that is related to him. The Prophet (p.b.u.h) reminded on the danger of the false hadith. Jt is prohibited as described in his hadith, which means: "Whoever lie to me intentionally should be prepared for his place in hell." The problem of hadith mawdu' is it is well spread and this research would concentrate on the existing hadith Mawdu in Klang Valley. Therefore, this research will focus on several occasions which the hadith Mawdu can be traced from various sources such as Friday prayer sermons, books, weekly magazines and religious lecture cassettes. The knowledge of the society about this kind of false hadith is also one of the researchers' main objective. The data is collected through interviews as well as questionnaires. The findings show that the level of understanding anlong the society regarding the hadith mnrvdzi ' is still very poor. Fro111 the surveys, we were able to trace about 60 hadith mawdu' in Klang Valley which mainly derive from religious books. 'the researchers also have interviewed prominent scholars and expertises in ulum al-hadith to get their views regarding the hadith mawdu. The development and advancement of Islam in Malaysia is also discussed at the beginning of this research.