Section 8
of Act 125
Section 8
When any licensed borrowing company—
(a)
carries on its business in a manner which in the opinion of the Central Bank is detrimental to the interests of its depositors;
(b)
has insufficient assets to cover its liabilities to its depositors;
(c)
carries on business while its paid-up capital
(unimpaired by losses or otherwise) is less than one million Malaysian dollars; or
(d)
contravenes any provision of this Act or of any regulations madé thereunder, the Minister may on the recommendation of the Central
Bank revoke or suspend the licence of the licensed borrowing company subject to such conditions and restrictions as the
Minister may think fit to impose but before the Minister suspends or revokes the licence he shall inform the borrowing company in writing—
() of his intention to do so; and
(ii)
that it may submit written reasons to the Minister
(within two weeks of being so informed) as to why its licence should not be revoked or suspended.
(2)
The decision of the Minister shall be final and shall not be subject to appeal or to review in any court.
(3)
When the licence of a borrowing company has been revoked or suspended pursuant to sub-section (1) the borrowing company shall forthwith cease to use or display in any manner the words, “licensed borrowing company”.
[S. 8-12]
Fn asced
BORROWING COMPANIES 9
(4)
Any borrowing company which fails to comply with the provisions of sub-section (3) is guilty of an offence and shall on conviction be liable to a fine not exceeding/fve Khoo ly thoutrd theusanddollars and to a fine not exceeding five hundred sa ve -
dollars for every day the offence continues. Abb 34