Malaysia legislation
Section 113
Section 113
Where the Corporation or the appointed person has assumed control of a member institution or a receiver has been appointed pursuant to this Act, any stipulation in any agreement shall be of no force or effect if it—
(a)
has the effect of providing for, or permitting, anything that, in substance, is contrary to section 107, 109 or 125; or
(b)
provides, in substance, that the member institution ceases to have the rights or the bridge institution or another transferee or assignee does not have the rights to use or deal with assets that the member institution or the bridge institution or other transferee or assignee would otherwise have, because of—
(i)
the insolvency of the member institution;
(ii)
the default by the member institution in the performance of an obligation;
Malaysia Deposit Insurance Corporation 127
(iii)
the assumption of control or the appointment of the receiver; or
(iv)
the agreement being transferred or assigned to or assumed by another member institution, a bridge institution or a qualified third party.
Further supplies and advances