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Cross-Border Insolvency Act 2026 · Updated to 30 Jan 2026 · Part V · Concurrent Proceedings

29. Coordination of proceedings under Malaysian insolvency law and foreign proceedings

Where foreign proceedings and proceedings under Malaysian insolvency law are taking place concurrently regarding the same debtor, the Court may seek cooperation and coordination under sections 25, 26 and 27, and the following matters shall apply:

(a)

when the proceedings in Malaysia are taking place at the time the application for recognition of foreign proceedings is filed—

(i)

any relief granted under section 19 or 21 shall be consistent with the proceedings in Malaysia;

and

(ii)

if the foreign proceedings are recognized in

Malaysia as foreign main proceedings, section 20

shall not apply;

(b)

when the proceedings in Malaysia are commenced after the filing of an application for recognition of foreign proceedings or after recognition is granted—

(i)

any relief granted which is in effect under section 19

or 21 shall be reviewed by the Court and, if inconsistent with the proceedings in Malaysia, shall be modified or set aside;

(ii)

if the foreign proceedings are foreign main proceedings, the stay and suspension under subsection 20(1) shall be modified or set aside under subsection 20(6), if inconsistent with the proceedings in Malaysia; and

(iii)

any proceedings brought by the foreign representative under subsection 23(1) prior to the commencement of the proceedings in Malaysia shall be subject to review by the Court and the Court may give such directions as it deems fit regarding the continuance of those proceedings; and

(c)

in granting, extending or modifying any relief given to a foreign representative of foreign non-main proceedings, the Court shall be satisfied that the relief relates to—

(i)

property that, under the laws of Malaysia, should be administered in the foreign non-main proceedings; or

(ii)

information required in the foreign non-main proceedings.

Terms defined in s 2

Court
Defined · s 2
“Court” means the Court as referred to in section 5;
Open s 2
debtor
Defined · s 2
“debtor” means— (a) a corporation as defined in section 3 of the Companies Act 2016 but does not include limited liability partnership and foreign limited liability partnership; or (b) a corporation as defined in section 2 of the Labuan Companies Act 1990;
Open s 2
foreign main proceedings
Defined · s 2
“foreign main proceedings” means foreign proceedings taking place in a foreign State where the debtor has its centre of main interests;
Open s 2
foreign non-main proceedings
Defined · s 2
“foreign non-main proceedings” means foreign proceedings other than foreign main proceedings taking place in a foreign State where a debtor has an establishment;
Open s 2
foreign proceedings
Defined · s 2
“foreign proceedings” means collective judicial or administrative proceedings in a foreign State, including interim proceedings, under the law relating to insolvency in which proceedings the property and affairs of the debtor are subject to control or supervision by a foreign court, for the purposes of reorganization or liquidation;
Open s 2
foreign representative
Defined · s 2
“foreign representative” means a person or body appointed, including a person or body appointed on an interim basis, and authorized in foreign proceedings to administer the reorganization or liquidation of a debtor’s property or affairs or to act as a representative of the foreign proceedings.
Open s 2
Malaysian insolvency law
Defined · s 2
“Malaysian insolvency law” means— (a) this Act; (b) subdivisions 2 and 3 of Division 7 of Part III, Division 8 of Part III, and Parts IV and V of the Companies Act 2016; (c) sections 74, 127, 130zb, 131, 131a, 151c and 151d of the Labuan Companies Act 1990; (d) any subsidiary legislation made under this Act, the Companies Act 2016, the Labuan Companies Act 1990 and the Courts of Judicature Act 1964; and (e) the common law of Malaysia relating to or in connection with any provision of this Act, the Companies Act 2016, the Labuan Companies Act 1990 and the Courts of Judicature Act 1964 or any provision of any subsidiary legislation made under this Act, the Companies Act 2016, the Labuan Companies Act 1990 and the Courts of Judicature Act 1964;
Open s 2

Report

Read on from s 30

Part VI

General

Read on from Part VI

29. Coordination of proceedings under Malaysian insolvency law and foreign proceedings

Terms defined in s 2

General

Schedules