Malaysia legislation
Section 7
of *NATIONAL LAND REHABILITATION AND CONSOLIDATION AUTHORITY (SUCCESSION AND DISSOLUTION) ACT 1997
Section 7
(2)
The statutory reserve may only be applied by the successor company in paying up unissued shares of the company to be allotted to members of the company as fully-paid bonus shares.
(3)
For the purposes of any statutory accounts of the successor company—
(a)
the vesting effected by virtue of section 3 shall be taken to have been a vesting of all property, rights and liabilities which the Authority was entitled and subject to immediately before the end of the last complete accounting year of the
Authority, ending before the vesting date and to have been effected to the successor company on the vesting date; and
(b)
the value of any asset or right or the amount of any liability of the Authority, taken to have been vested in the successor company by virtue of section 3 shall be taken to be the value or, as the case may be, the amount assigned to the asset, right or liability in the statement of accounts prepared by the Authority, in respect of the last complete accounting year of the Authority, ending
12 Laws of Malaysia ACT 570
before the vesting date.
(4)
For the purposes of any statutory accounts of the successor company, the amount to be included in respect of any item shall be determined as if anything done by the Authority, whether by way of acquiring, revaluing or disposing of any asset or incurring, revaluing or discharging any liability, or by carrying any amount to any provision of reserve, or otherwise, had been done by the successor company.
(5)
Without prejudice to the generality of subsection (4), the amount to be included from time to time in any reserve of the successor company as representing its accumulated realized profits shall be determined as if any profits realized and retained by the
Authority had been realized and retained by the successor company.
(6)
References in this section to the statutory accounts of the successor company are references to any accounts prepared by the successor company for the purposes of any provision of the
Companies Act 1965.
(7)
For the purposes of this section, ―complete accounting year‖
means an accounting year ending on 31 December or a period to be determined by the Minister of Finance.