Section 12 — MALAYSIAN TIMBER INDUSTRY BOARD (INCORPORATION) ACT 1973

(a)

to regulate and control the trade in, and the marketing and distribution of, timber;

(b)

to promote and improve the trade in, and markets for, timber;

(bb) to co-ordinate activities for effective marketing and shipping of timber;

(c)

to encourage effective utilization of timber with emphasis on product diversification and to promote improvement and economy in the methods of processing timber;

(d)

to provide technical advisory services and training required to assist in the development of existing timber industries and the establishment of new industries;

(e)

to assist the timber industries in the marketing of timber;

(f)

to organize and assist in the consolidation of the small scale timber industries and the closer integration of the activities of the timber industries generally, so as to achieve greater efficiency in, and secure a stronger base for, the timber industry as a whole;

Malaysian Timber Industry (Incorporation)

(g)

to gather information on and maintain records of all relevant matters relating to the timber industry;

(ga) to implement policies and development programmes to ensure the improvement and viability of the timber industry in Malaysia;

(gb) to develop Bumiputera entrepreneurs in the timber industry to be more competitive;

(gc) to implement control and monitor export, import, timber in transit and the domestic market;

(gd) to carry out research, review and investigation, that are beneficial or appropriate to the carrying out of its functions;

(ge) to develop and commercialize research findings for the benefit of the timber industry and to encourage the commercial use of research findings;

(gf) to encourage and develop forest plantation activity for the purpose of the development of the timber industry and any other activity related to the development of forest plantation;

(gg) to plan and carry out human resource development programmes parallel to the development of the timber industry;

(gh) to liaise and co-ordinate with the relevant State Governments and other bodies, including members of any association within and outside Malaysia, in the interest of the timber industry; and

(h)

generally to do everything within the scope of the objectives of this Act for the betterment and proper conduct of the timber industry.

(2)

The Board shall have power to do all things reasonably necessary for, or expedient or incidental to, the discharge of its functions, and in particular, but without prejudice to the generality of this subsection—

(a)

to enter into such negotiations and agreements or arrangements as the Board considers necessary for carrying out its functions and for the promotion of the general interests of the timber industry and trade;

20

Act 105

(b)

to undertake marketing of timber on behalf of the small scale timber industries;

(c)

to set up and maintain such establishments as the Board considers necessary for the discharge of its functions;

(d)

to appoint committees;

(e)

to acquire, hold, dispose of or grant rights in connection with the results of any research conducted by or for the

Board, or in connection with the results of any research undertaken by any person or organization for the Board;

(f)

to commission any person or body to carry out research or development;

(g)

to award certificates of proficiency in respect of training programmes and programmes recognized by the Board;

(h)

to issue licences, certificates, permits and approvals under this Act in respect of the timber industry;

(i)

to determine the standards and specifications of any timber product as the Board thinks proper for the timber industry;

(j)

to undertake and co-ordinate any activities relating to research and development in the planting, production and harvesting of forest plantation products;

(k)

to grant recognition and certification of timber quality assurance scheme to any person involved in timber production;

(l)

to collaborate with any recognized agencies or organizations within or outside Malaysia;

(m)

to carry out research and development activities for the development of timber products and downstream activities;

(n)

to provide loans, with or without interest, to bodies, companies or persons approved by the Minister for the execution of forest plantation programmes or any other programmes for the purpose of the development of the timber industry;

(o)

to carry out the role as the grading authority; and

(p)

to do all things expedient, necessary for or incidental to the performance of its functions under this Act.

Malaysian Timber Industry (Incorporation)

(3)

The Board may from time to time, with the approval of the

Minister, establish, by order published in the Gazette, a corporation by such name as may be specified in the order to carry out and have the charge, conduct and management on behalf of the Board of any project, scheme or enterprise that has been planned or undertaken by the Board in the discharge of its functions under this Act, and may in like manner cancel, vary or amend any such order.

(4)

Every order made under subsection (3) shall make provision in respect of—

(a)

the constitution of the corporation;

(b)

the financing of the corporation;

(c)

the repayment of loans to the corporation; and

(d)

the accounts to be kept by the corporation and the audit of the accounts.

(4a)

The provisions of the Fourth Schedule shall apply in respect of every corporation established by the Board under subsection (3).

(5)

The Board may, in discharging such of its functions, in appropriate cases carry out commercial activities for gain or profit through companies which may, from time to time, be established under the Companies Act 1965 [Act 125] and such companies shall only be established after approval by the Minister with the concurrence of the Minister of Finance.

(6)

The Minister may make such rules or regulations prescribing any activity or interest or prescribing the terms or conditions of any activity or interest of any member, officer or servant of the Board in relation to any corporation or company established under subsections (3) and (5) respectively or to any other company, enterprise or undertaking and any omission or neglect to comply with and any act done or attempted to be done contrary to the provisions of such rules or regulations is an offence against this

Act and the offender is liable on conviction to a fine not exceeding ten thousand ringgit or to imprisonment for a term not exceeding five years or to both.

22

Act 105

Delegation of Board’s functions and powers 12a. (1) The Board may, in writing, delegate on such conditions, limitations or restrictions as it deems fit to impose, any of its functions or powers, except the power to make regulations and rules under section 34 of this Act, to—

(a)

the Chairman;

(b)

the Director General;

(c)

any committee appointed by the Board; or

(d)

any officer of the Board who is empowered by the Director

General.

(2)

Any person or committee delegated with such functions and powers of the Board under subsection (1) shall be bound to observe and have regard to all the conditions, limitations or restrictions imposed by the Board.

(3)

A delegation under this section shall not preclude the Board itself from performing or exercising at any time any of the functions or powers so delegated.