Malaysia legislation
Section 8
Section 8
(2)
The statutory reserve may only be applied by the successor company in paying up unissued shares of the company to be allotted to members of the company as fully paid bonus shares.
(3)
For the purposes of any statutory accounts of the successor company—
12 Laws of Malaysia ACT 322
(a)
the vesting effected by virtue of section 3 shall be taken to have been a vesting of all property, rights and liabilities, other than the excepted lands and designated property, to which the Telecommunication Department, Malaysia, was entitled or subject to immediately before the end of the last complete accounting year of the Telecommunication
Department, Malaysia, ending before the transfer date and to have been effected immediately after the end of that year; and
(b)
the value of any asset and the amount of any liability of the Telecommunication Department, Malaysia, taken to have been vested in the successor company by virtue of paragraph (a) shall be taken to be the value or, as the case may be, the amount assigned to that asset or liability for the purposes of the corresponding statement of accounts prepared by the
Telecommunication
Department,
Malaysia, in respect of that year.
(4)
For the purposes of any statutory accounts of the successor company, the amount to be included in respect of any item shall be determined as if anything done by the Telecommunication
Department, Malaysia, whether by way of acquiring, revaluing or disposing of any asset or incurring, revaluing or discharging any liability, or by carrying any amount to any provision of reserve, or otherwise had been done by the successor company.
(5)
Without prejudice to the generality of the provision of subsection (4) the amount to be included from time to time in any reserves of the successor company as representing its accumulated realized profits shall be determined as if any profits realized and retained by the Telecommunication Department, Malaysia, had been realized and retained by the successor company.
(6)
References in this section to the statutory accounts of the successor company are references to any accounts prepared by the successor company for the purposes of any provision of the
Companies Act 1965.
(7)
For the purposes of this section, "complete accounting year"
means an accounting year ending with 31 December.
Telecommunication Services (Successor Company) 13