Malaysia legislation
Section 103
Section 103
The principal Act is amended by substituting for section 131
the following section:
“Compounding of offences
Quoted provision
Section 131
(a)
any offence under this Act or its subsidiary legislation as an offence which may be compounded;
(b)
criteria for compounding such offence; and
(c)
method and procedure for compounding such offence.
(2)
Any senior officer of customs may, with the written consent of the Public Prosecutor, compound any offence committed by any person under this Act and prescribed to be a compoundable offence by making a written offer to the person suspected to have committed the offence to compound the offence upon payment to the Director General of an amount of money not exceeding fifty per centum of the amount of the maximum fine for that offence within the period specified in the offer.
88
(3)
An offer under subsection (2) may be made at any time after the offence has been committed but before any prosecution for it has been instituted, and if the amount specified in the offer is not paid within the period specified in the offer or within any extended period as the Director
General may grant, prosecution for the offence may be instituted at any time after that against the person to whom the offer was made.
(4)
Where an offence has been compounded under subsection (2), no prosecution shall after that be instituted in respect of the offence against the person to whom the offer to compound was made.
(5)
Subject to subsections (6) and (7), upon the payment of such sum of money as specified under subsection (1), any goods seized and the amount secured under paragraph 115(1)(a)
or (b) or the amount realized by sale under paragraph 115(1)(c)
shall be released and no further proceedings shall be taken against such goods.
(6)
If dutiable goods are seized under this Act, such goods or the amount secured under paragraph 115(1)(a) or (b) or the amount realized by sale under paragraph 115(1)(c), as the case may be, shall be forfeited unless the customs duties payable is paid within thirty days from the date of payment of such amount of money.
(7)
If prohibited goods are seized under this Act, such goods or the amount secured under paragraph 115(1)(a)
or (b) or the amount realized by sale under paragraph 115(1)(c), as the case may be, shall be forfeited.
(8)
Notwithstanding subsection (7), where the prohibition on the goods is conditional upon a licence being issued, a senior officer of customs may release such goods if a licence is issued by any relevant authority and produced to the senior officer of customs within thirty days from the date such amount of money is paid.”.
Customs (Amendment)
89
New section 131a 104.
The principal Act is amended by inserting after section 131
the following section:
“Cost of holding goods, document or thing seized 131a. Where any goods, document or thing seized under this
Act is held in the custody of the officer of customs pending completion of any proceedings in respect of an offence under this Act, the cost of holding such goods, document or thing in custody shall, in the event of any person found guilty of an offence, be a debt due to the Government by such person and shall be recoverable accordingly.”.
New section 132a 105.
The principal Act is amended by inserting after section 132
the following section:
“Order to pay cost of damage to Government property 132a. If any person is convicted of an offence under this
Act or any regulation made thereunder, and it appears to the court before which he is convicted that the commission of such offence has caused damage to any Government property, the court may, in addition to any punishment specified for the offence, order the person so convicted to pay the Director General the costs and expenses incurred in repairing or replacing the property and any other cost and expenses incurred in connection with the damage to the property.”.
Amendment of section 133 106.
Paragraph 133(1)(g) of the principal Act is amended by inserting after the words “of goods” the words “imported or”.
90
Amendment of section 135 107.
Subsection 135(1) of the principal Act is amended—
(a)
in subsubparagraph (iv)(bb), by substituting for the words
“five years” the words “seven years”; and
(b)
in subsubparagraph (v)(bb), by substituting for the words
“five years” the words “seven years”.
New sections 135a, 135b and 135c 108.
The principal Act is amended by inserting after section 135
the following sections:
“Penalty for offences relating to data stored in a computer 135a. (1) Any person who, without the authority of the
Director General—
(a)
destroys, damages, erases or alters or manipulates the data stored in or used in connection with a computer;
(b)
introduces into, records or stores in a computer by any means data for the purpose of—
(i)
destroying, damaging, erasing, altering or manipulating other data stored in that computer;
or
(ii)
interfering with, interrupting or obstructing the lawful use of that computer, or the data stored in that computer; or
(c)
otherwise uses a computer, the purpose or effect of which is to reduce, avoid or evade any liability to customs duty imposed or which would otherwise have been imposed by the Act, or to defeat any provision of the Act, shall be guilty of an offence and shall, on conviction, be liable to a fine not exceeding one hundred thousand ringgit or to imprisonment for a term not exceeding five years or to both.
(2)
In this section, “data” includes any computer program or part of a computer program.
Customs (Amendment)
91
Penalty for offence relating to claims for drawback 135b. Any person who obtains, or does anything which causes any other person to obtain, any amount by way of drawback of any customs duty in respect of any goods which is not lawfully payable or allowable in respect thereof, or which is higher than the amount so payable or allowable shall be guilty of an offence and shall, on conviction, be liable to a fine not exceeding three times the amount of such duty or five hundred thousand ringgit, whichever is the greater, or to imprisonment for a term not exceeding seven years or to both.
Penalty for offence relating to claims for refund 135c. Any person who obtains, or does anything which causes any other person to obtain, the refund of any money under section 16 of any amount in excess of the amount properly so refundable shall be guilty of an offence and shall, on conviction, be liable to a fine not exceeding three times the amount refunded in excess of the amount properly so refundable or five hundred thousand ringgit, whichever is the greater, or to imprisonment for a term not exceeding seven years or to both.”.
Amendment of section 137 109.
Subsection 137(1) of the principal Act is amended—
(a)
in paragraph (a), by deleting the words “vessel or aircraft or other means of”; and
(b)
in paragraph (c), by deleting the words “vessel, aircraft or”.
Amendment of section 142 110.
Section 142 of the principal Act is amended—
(a)
by inserting after paragraph (4) the following paragraph:
“ (4a) to regulate the landing and loading of goods under section 33;”;
92
(b)
by inserting after paragraph (9) the following paragraph:
“ (9a) to regulate any matter relating to port clearance;”;
(c)
in paragraph (13), by inserting after the words “customs and licensed warehouses” the words “, warehouses or other places approved by the Director General or petroleum supply bases,”;
(d)
in paragraph (15), by deleting the words “, other than warehouse licences”;
(e)
in paragraph (19), by inserting after the words “to regulate the manner” the words “and to provide the conditions”;
(f)
by inserting after paragraph (19a) the following paragraph:
“ (19b) to regulate any matter relating to manifest;”;
(g)
by deleting paragraph (25);
(h)
in paragraph (26), by inserting after the words “the offences which may be compounded” the words “, the criteria for compounding the compoundable offence”;
and
(i)
by inserting after paragraph (35e) the following paragraphs:
“ (35f) to regulate any matter relating to the origin of goods including—
(i)
to prescribe the criteria for authorization or appointment of the authorized body or the issuing authority, as the case may be;
(ii)
to prescribe the procedures and conditions relating to the issuance of a preferential or non-preferential certification of origin or declaration of origin;
(iii)
to prescribe the criteria for importers, producers or exporters registered under section 99e;
Customs (Amendment)
(iv)
to prescribe the goods or type of goods entitled to preferential tariff treatment;
(v)
to prescribe the rules of origin of goods for preferential or non-preferential tariff treatment; and
(vi)
generally to give effect to the provisions of Part Xa;
(35g)
to regulate the operation of the petroleum supply base and any matter relating to it;”.
Amendment of section 143 111.
Section 143 of the principal Act is amended—
(a)
in subsection (4), by substituting for the words
“subsection 128(3)” the words “subsection 128(3a)”; and
(b)
in subsection (5), by substituting for the words
“subsection 128(3)” the words “subsection 128(3a)”.
Amendment of section 145a 112.
Section 145a of the principal Act is amended by substituting for the words “customs duty, penalty or surcharge” the words
“customs duty, surcharge, penalty, fee or other money”.
New section 145b 113.
The principal Act is amended by inserting after section 145a the following section:
“Protection against suit and legal proceedings 145b. No action, suit, prosecution or other proceeding shall lie or be brought, instituted or maintained in any court against—
(a)
any officer of customs;
94
(b)
any police officer having the powers of a senior officer of customs or officer of customs under section 8;
(c)
any person employed under section 10; and
(d)
the authorized body and issuing authority, for or in respect of any act, neglect or default done or committed by him or it in good faith or any omission omitted by him or it in good faith in such capacity.”.
Amendment of section 154 114.
Section 154 of the principal Act is amended in the definition of “principal customs area”, by substituting for the words “and
Tioman” the words “, Tioman and Pangkor”.
Amendment of section 156 115.
Section 156 of the principal Act is amended in the proviso, by deleting the words “as if Labuan were a place outside Malaysia”.
Amendment of section 163 116.
Section 163 of the principal Act is amended in the proviso, by substituting for the words “customs licensed or approved warehouse” the words “customs or licensed warehouse, or warehouse or other place approved by the Director
General”.
Amendment of section 163a 117.
Section 163a of the principal Act is amended in the definition of “principal customs area”, by substituting for the words “and Tioman” the words “, Tioman and Pangkor”.
Customs (Amendment)
95
Amendment of section 163c 118.
Section 163c of the principal Act is amended—
(a)
by substituting for the words “, 87 and 87a thereof” the words “and 87 and paragraph 87a(1)(b)”; and
(b)
by substituting for the words “vehicles transporting such goods as if Langkawi were a place outside Malaysia”
the words “vehicles, vessels and aircrafts transporting such goods”.
Amendment of section 163d 119.
Section 163d of the principal Act is amended by substituting for the words “vessel or aircraft” wherever appearing the words
“vehicle, vessel or aircraft”.
Amendment of section 163j 120.
Section 163j of the principal Act is amended in the definition of “principal customs area”, by substituting for the words “and
Tioman” the words “, Tioman and Pangkor”.
Amendment of section 163l 121.
Section 163l of the principal Act is amended—
(a)
by substituting for the words “, 87 and 87a thereof” the words “and 87 and paragraph 87a(1)(b)”; and
(b)
by deleting the words “as if Tioman were a place outside
Malaysia” .
Amendment of section 163m 122.
Section 163m of the principal Act is amended by substituting for the words “vessel or aircraft” wherever appearing the words
“vehicle, vessel or aircraft”.
96
New Part XIXd 123.
The principal Act is amended by inserting after Part XIXc the following Part:
“PART XIXd
SPECIAL PROVISIONS DEALING WITH PANGKOR
Interpretation 163q. In this Part, unless the context otherwise requires—
“Pangkor” means the Pangkor Island, Mentagor Island,
Giam Island, Simpan Island, Tukun Terindak Island, Pelanduk
Island, Anak Pelanduk Island, Landak Island, Batu Orang
Tua and Batu Jambal;
“principal customs area” means Malaysia exclusive of
Labuan, Langkawi, Tioman and Pangkor.
Customs duties relating to Pangkor 163r. (1) Notwithstanding anything to the contrary contained in this Act—
(a)
no import duty shall be payable upon any goods imported into Pangkor, other than goods which the Minister may from time to time declare by order published in the Gazette;
(b)
no export duty shall be payable upon any goods exported from Pangkor, other than any goods which the Minister may from time to time declare by order published in the Gazette;
(c)
import duty shall be payable upon all dutiable goods transported to the principal customs area from Pangkor as if such transportation to the principal customs area were importation into
Malaysia;
Customs (Amendment)
(d)
export duty shall be payable upon all dutiable goods transported from the principal customs area to Pangkor as if such transportation from the principal customs area were exportation from
Malaysia; and
(e)
the Minister may by order, prescribe the meaning of the word “value” in relation to goods transported from Pangkor to the principal customs area.
(2)
Subsections 11(2), (3), (4) and (5) shall apply to any order made by the Minister under paragraph (1)(a) or (b).
(3)
Nothing in this section shall render inapplicable to
Pangkor any other customs duty which may be fixed by the
Minister under subsection 11(1).
Transportation of goods to or from Pangkor from or to the principal customs area 163s. Where goods are transported—
(a)
from Pangkor to the principal customs area; or
(b)
from the principal customs area to Pangkor, the provisions of this Act, other than sections 81, 82, 83,
84, 85, 86 and 87 and paragraph 87a(1)(b), shall with such modifications and adaptations as may be necessary, apply as if such goods were imported into or, as the case may be, exported from, the principal customs area from or to a place outside Malaysia, and without prejudice to the above generality, Part XII shall apply to goods transported to or from
Pangkor from or to the principal customs area and to persons and vehicles, vessels and aircrafts transporting such goods.
Declaration of goods transported from Pangkor into the principal customs area 163t. The person in charge of any vehicle, vessel or aircraft on which goods are transported from Pangkor to the principal customs area shall make a declaration substantially in the prescribed form giving particulars of the goods transported in such vehicle, vessel or aircraft.
98
Dutiable goods to be deemed to be non-dutiable while in Pangkor 163u. Except for the purpose of section 48, any dutiable goods, other than goods declared by the Minister under paragraph 163r(1)(a), shall while in Pangkor, be deemed to be non-dutiable goods and the provisions of this Act shall be construed accordingly.
Collection of duties in Pangkor 163v. In making regulations under section 142, the Minister may provide for the collection in Pangkor of the customs duties payable in respect of goods transported or about to be transported from or to Pangkor to or from the principal customs area.
Application of Part X to goods transported to Pangkor 163w. The provisions of Part X which deals with drawback shall apply to goods, other than goods declared by the Minister under paragraph 163r(1)(a), transported from the principal customs area to Pangkor as if such goods had been exported.”.
Deletion of Part XX
Quoted provision
Section 124
The principal Act is amended by deleting Part XX.
Quoted provision
Section 125
Savings and transitional provision
(a)
granted under section 65a to carry on any manufacturing process and other operation in respect of the goods liable to customs duties and any other goods; or
(b)
granted under section 91a to any person to act as a licensed carrier, before the appointed date and in force immediately before the appointed date shall, on the appointed date, continue to remain in force and have effect until the licence expires, or is withdrawn or cancelled by the Director General.
Customs (Amendment)
(2)
Any approval granted by the Director General to any person to be an accredited person to benefit from simplified procedures for customs clearance as determined by the Director General before the appointed date and in force immediately before the appointed date shall, on the appointed date, be deemed to have been granted under the principal Act as amended by this Act.
(3)
Any certificate of origin issued in the name of the Ministry of International Trade and Industry or chambers of commerce or trade associations appointed by the Minister of International Trade and Industry before the appointed date and in force immediately before the appointed date shall, on the appointed date, continue to remain in force and have effect until the certificate of origin expires, or is withdrawn or cancelled by the Ministry of International
Trade and Industry or chambers of commerce or trade associations appointed by the Minister of International Trade and Industry.
(4)
Any application for—
(a)
a licence to carry on any manufacturing process and other operation in respect of the goods liable to customs duties and any other goods under section 65a;
(b)
a licence to act as a licensed carrier under section 91a;
(c)
an approval to be an accredited person to benefit from simplified procedures for customs clearance as determined by the Director General; or
(d)
a certificate of origin to be issued in the name of the
Ministry of International Trade and Industry or chambers of commerce or trade associations appointed by the
Minister of International Trade and Industry, made before the appointed date and pending before the Director
General, or the Ministry of International Trade and Industry or chambers of commerce or trade associations appointed by the
Minister of International Trade and Industry, as the case may be, immediately before the appointed date shall, on the appointed date, be dealt with in accordance with the provision of the principal
Act as amended by this Act.
100
(5)
Any importer, producer or exporter registered by the
Ministry of International Trade and Industry for the purpose of producing a declaration of origin before the appointed date shall, on the appointed date, be deemed to have been registered under the principal Act as amended by this Act.
(6)
Any compounding of effences under the existing section 131
of the principal Act which is pending immediately before the appointed date shall, on or after the appointed date, continue to be a compoundable offences as if the principal Act had not been amended by this Act.
(7)
In this section, “appointed date” means the date appointed by the Minister under subsection 1(2) of this Act for the coming into operation of this Act.