Malaysia legislation

Section 46

of *MALAYSIA DEPOSIT INSURANCE CORPORATION ACT 2011

Section 46

Not part of deposit

Where monies are or were received by a deposit-taking member for which the deposit-taking member has issued or is obligated to issue an instrument evidencing a deposit, other than a bank draft, traveller’s cheque, prepaid letter of credit or money order—

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(a)

the monies do not constitute a deposit unless the instrument and records of the deposit-taking member specify the person entitled, at the date of issue of the instrument, to the repayment of the monies evidenced thereby;

(b)

the person referred to in paragraph (a) shall be deemed to be the depositor in respect of the monies unless particulars of a transfer of the instrument are entered on the records of the deposit-taking member, in which case the most recent transferee shown on the records shall be deemed to be the depositor; and

(c)

the entry of a transfer on the records of a deposit-taking member is ineffective for the purpose of paragraph (b), if the entry is made subsequent to the cancellation or termination of the membership of the deposit-taking member.

Premiums

Definitions