Some countries are excluded from applying in Penang, their citizens can apply in Kuala Lumpur, but with a 4 week waiting time. Vietnam, Cambodia and Laos has also stopped giving immediate visas to some passport holders, also have to wait 4 weeks for background checks
Had a border-bounce last week, one night in KL, had the same officer stamp me in and out, and we had a quick chuckle about it 20seconds at most, BUT I do not have any Covid extensions in my passport