Malaysia legislation
Section 6
Section 6
Permitted and prohibited purposes and activities of Langkawi company
(2)
The business referred to in subsection (1) if carried on in, from or through Malaysia, shall be carried on only in, from or through Langkawi.
(3)
No Langkawi company shall carry on any business with a resident of Malaysia except in relation to yacht-related activities or procuring finance or lending in relation to yacht-related activities.
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Langkawi International Yachting Companies
(4)
For the purposes of subsection (3), a Langkawi company shall not be treated as carrying on business with persons resident in Malaysia by reason only that—
(a)
it makes or maintains deposits with a person carrying on business within Malaysia;
(b)
it makes or maintains professional contact with any counsel and attorney, accountant, book-keeper, investment adviser, trustee or other similar person carrying on business within Malaysia;
(c)
it prepares or maintains books and records in Malaysia;
(d)
it holds, within Malaysia, meetings of its directors or members;
(e)
it acquires or holds any lease of any property for the purposes of its operation or as accommodation for its officers or employees;
(f)
it holds shares, debt obligations or other securities in a
Langkawi company; or
(g)
a resident of Malaysia holds shares in that Langkawi company.
(5)
A Langkawi company may be managed by one or more of its members, herein referred to as “managing members”, and if so managed, shall have any appropriate words or abbreviations thereof in romanised characters that describe it as such.
(6)
Managing members referred to in subsection (5) shall, for the purposes of this Act, be considered to be directors of the
Langkawi company.