LABUAN TRUSTS (AMENDMENT) ACT 2025

in the definition of “resident”, by substituting for the words

“pursuant to section 43 of the Exchange Control Act 1953

[Act 17]” the words “pursuant to paragraph 214(6)(a)

of the Financial Services Act 2013 [Act 758] and paragraph 225(6)(a) of the Islamic Financial Services

Act 2013 [Act 759]”; and

LABUAN TRUSTS (AMENDMENT) ACT 2025

by inserting after the definition of “authorized officer”

the following definition:

‘ “beneficial owner” means a natural person who controls or benefits directly or indirectly from the property or asset of a Labuan trust, and includes a person who exercises effective control and influence in the Labuan trust as may be determined by the Authority;’.

Amendment of section 7

in subsection (2), by substituting for the words “any

Malaysian property” the words “any property which is situated in Malaysia”; and

by deleting subsections (5), (6) and (7).

Amendment of section 14

in subsection (2), by deleting the words “and shall be the address for service of any documents upon the trust”;

and

by inserting after subsection (2) the following subsection:

“(3)  For the purposes of this Act, any document served under this Act shall be deemed to have been served on a

Labuan trust if the document—

is left at, or sent by ordinary or registered post to the last known address of the registered office of the Labuan trust; or

is sent by electronic means to the address or numbers provided by the Labuan trust or the trustee of a Labuan trust.”.

Labuan Trusts (Amendment)

5

New Part IIa

the full name, addresses, nationality, identification and usual place of residence of a person who is a beneficial owner of the Labuan trust;

the date the person becomes a beneficial owner of the Labuan trust;

the date the person ceases to be a beneficial owner of the Labuan trust; and

such other information as may be determined by the Authority.

The register of beneficial owners of the Labuan trust shall be kept at the registered office of the Labuan trust.

A trustee shall lodge with the Authority a notice on any change to the particulars in the register of beneficial owners of the Labuan trust.

Any notice required under subsection (3) shall be lodged within thirty days from the date on which the change is recorded in the register of beneficial owners of the Labuan trust.

A trustee shall retain the information of a natural person who has been recorded in the register of beneficial owners of the Labuan trust as a beneficial owner but subsequently ceases to be a beneficial owner of the Labuan trust for six years from the date the natural person ceases to be a beneficial owner.

An entry relating to a natural person who ceases to be a beneficial owner of a Labuan trust under subsection (5) shall be removed from the register of beneficial owners of the Labuan trust after the expiration of six years from the date the natural person ceases to be a beneficial owner.

Any trustee who submits false or misleading or inaccurate information to the Authority under this section shall be guilty of an offence.

Penalty: Fine not exceeding one million ringgit or imprisonment for a term not exceeding three years or both.

The Authority shall determine the form, manner and extent of the information to be kept under subsection (1) and lodged under subsection (3).

The Authority may, by notice in writing, direct a trustee of a Labuan trust to lodge with the Authority within a period as specified in the notice, information in relation to the beneficial owner kept by the trustee.

The register of beneficial owners of a Labuan trust shall be prima facie evidence of any matters inserted in the register under this Act.

The Authority may, in relation to access to the register of beneficial owners of the Labuan trust kept at the registered office of the Labuan trust or beneficial ownership information lodged with the Authority, determine—

Section 8a, subsection 15(3) and subsection 41(4) of the

Act shall not apply if disclosure or access has been determined by the Authority pursuant to subsection (11).

Any trustee who fails to comply with the requirements of subsection (1), (2), (3), (4), (5), (6) or (9) commits an offence and the Authority may impose an administrative penalty in accordance with section 36g of the Labuan Financial Services

Authority Act 1996.

Power of trustee to require disclosure of beneficial ownership information 21b.  (1)  A trustee shall, by notice in writing, require any settlor, protector, trustee, enforcer or beneficiary of the Labuan trust within such reasonable time and in such manner as specified in the notice—

Where a trustee knows or has reasonable grounds to believe that any person is a beneficial owner of the Labuan trust, the trustee shall, by notice in writing, require such person within such reasonable time and in such manner as specified in the notice—

Where a trustee knows or has reasonable grounds to believe that any settlor, protector, trustee, enforcer or beneficiary of the Labuan trust or any person knows the identity of a person who is a beneficial owner of the Labuan trust, the trustee shall, by notice in writing, require the settlor, protector, trustee, enforcer or beneficiary of the Labuan trust or such person within such reasonable time and in such manner as specified in the notice—

Whenever a trustee receives information from the person to whom the notice is given under subsection (1), (2) or (3), the trustee of a Labuan trust shall, within thirty days from the date on which the information is received, record in the register of beneficial owners of the Labuan trust—

If a trustee has reasonable grounds to believe that a change has occurred to the particulars of a beneficial owner of the Labuan trust that are stated in the register of beneficial owners of the Labuan trust, the trustee shall give notice to the beneficial owner of the Labuan trust—

If a trustee has reasonable grounds to believe that any of the particulars of a beneficial owner of the Labuan trust that are stated in the register of beneficial owners of the Labuan trust might be incorrect, the trustee shall give notice to the beneficial owners of the Labuan trust to confirm whether the particulars are correct, and if not, to provide the correct particulars.

A trustee shall ensure that the Labuan trust complies with the obligations under this section.

Any trustee who fails to comply with the requirements of this section shall be guilty of an offence.

Duty of beneficial owner of Labuan trust to provide information 21c.  (1)  A person who has reason to believe that he is a beneficial owner of a Labuan trust shall, within thirty days—

A person who is a beneficial owner of a Labuan trust shall, within thirty days, notify the trustee of any changes in his particulars in the register of beneficial owners of the

Labuan trust.

A person who has ceased to be a beneficial owner of a

Labuan trust shall notify the trustee, as soon as practicable, of the change by stating—

Any person who fails to comply with the requirements of this section shall be guilty of an offence.

Obligation of trustee of a Labuan trust to maintain and keep information up to date 21d.  (1)  A trustee shall maintain and keep the particulars of beneficial ownership in the register of beneficial owners under section 21a updated from time to time.

A trustee shall ensure that the Labuan trust complies with the obligations under this section.

Any trustee who fails to comply with this section shall be guilty of an offence.

Power of Authority to conduct examination on register of beneficial owners of Labuan trust 21e.  The Authority may conduct examination as provided under section 28c of the Labuan Financial Services Authority

Act 1996 [Act 545] on the register of beneficial owners kept by the trustee of a Labuan trust under this Part.”.

Amendment of section 54