Section 4
of Direct Sales and Anti-Pyramid Scheme Act 1993
Section 4
Subject to sections 14 and 42, no person shall carry on any direct sales business unless it is a company incorporated under the Companies Act 1965 and holds a valid licence granted under section 6.
(2)
Any person who contravenes subsection (1) shall be guilty of an offence and shall, on conviction, be liable—
(a)
if such person is a body corporate, partnership or society, to a fine not exceeding one million ringgit and, for a second or subsequent offence, to a fine not exceeding two million ringgit;
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Act 500
(b)
if such person is not a body corporate, partnership or society, to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding five years or to both and, for a second or subsequent offence, to a fine not exceeding five hundred thousand ringgit or to imprisonment for a term not exceeding ten years or to both.
(3)
Where a person, being a director, manager, secretary or other similar officer of a body corporate, a partner in a partnership or an office-bearer of a society, as the case may be, is guilty of an offence under this section by virtue of section 38, he shall be liable to the penalty provided for under paragraph (2)(b).