Malaysia legislation
Section 7
Section 7
The Ordinance is amended by substituting for Parts IIa, IIb and IIc the following Parts:
“Part II
REGISTRATION AND LICENSING OF SHIPS
Preliminary
Interpretation. 11. (1) In this Part, unless the context otherwise requires—
“authorized officer” means any person appointed by the Director of Marine as an authorized officer under section 68g;
“bareboat charter” means the hiring of a ship to a charterer under bareboat charter terms;
“bareboat chartered-in ship” means a ship on a bareboat charter registered as a Malaysian ship under this Part;
“bareboat charter terms” means the hiring of a ship for a stipulated period on the terms which give the charterer possession and control of the ship, including the right to appoint the master and crew of the ship;
“certificate of registry” means a certificate of registry, a provisional certificate of registry or a certificate of bareboat charter registry issued under this Part;
“licensing officer” means a public officer appointed under section 56;
“Register” means the Malaysia Ship Register or
Malaysia International Ship Register maintained by the Registrar under section 14;
“representative person” means a person appointed under subsection 20(3).
(2)
In this Part, unless the contrary intention appears—
(a)
owner is the person or persons whose name appear in the Register or record of licences;
(b)
a reference to the owner of a ship shall, if there is more than one owner, be read as a reference to each of the owners; and
(c)
a reference to a ship includes a reference to a share or part of a ship.
(3)
Where in relation to a ship or to any matter connected with a ship, any provision of this Part that imposes a duty or liability on the owner of the ship or provides for the service of a notice on the owner of the ship—
(a)
owner means the owner of a registered ship or a ship to be registered;
Merchant Shipping (Amendment)
(b)
in the case of a ship registered under the
Malaysia International Ship Register, owner includes the representative person; or
(c)
in the case of a bareboat chartered-in ship, owner means the bareboat charterer, provided that nothing in this subsection shall prejudice the operation of that provision in so far as it imposes the duty or liability on any person other than the owner.
Registry
Registrar and Deputy
Registrar.
Quoted provision
Section 12
(2)
The Deputy Registrar of Ships shall, subject to the control of the Registrar of Ships, perform the functions of the Registrar of Ships and have all the powers of the Registrar of Ships under this Part.
Functions and powers of Registrar.
Quoted provision
Section 13
(a)
to maintain the Register;
(b)
to issue a certificate or document which is required to be issued by him under this Part, and to rectify, suspend, cancel, revoke or terminate the certificate or document;
(c)
to require information or documents to be furnished under this Part and to require the surrender of certificates and other documents issued under this Part;
(d)
to issue copies of or extracts from any certificates or documents, and entries in the
Register; and
(e)
to have overall administrative control of the ship registration office and its branch offices.
(2)
Notwithstanding subsection (1), the Registrar shall have the power to do all things necessary or expedient to be done, in connection with, or incidental to the performance of his functions.
Register.
Quoted provision
Section 14
(2)
The Register shall contain—
(a)
particulars of ships, owners, including bareboat charterers, mortgagees and representative persons, and their respective interests in the ships;
(b)
particulars of division of shares in a ship which may be divided into any number of shares and shall not be changed unless the ship is registered anew; and
(c)
any other particulars as may be determined by the Director of Marine.
(3)
The Registrar shall maintain the Register in both physical or electronic form as may be determined by the Director of Marine.
Rectification of Register.
Quoted provision
Section 15
The Registrar may rectify the Register if a clerical error has occurred and sufficient evidence is produced to satisfy him that the entry is incorrect, and on making the rectification he may, if necessary, issue a new certificate of registry.
Instructions.
Quoted provision
Section 16
The Director of Marine may issue instructions in writing which shall be consistent with this Ordinance to the Registrar if the Director of Marine thinks necessary or expedient for the better carrying out of the provisions of this Part.
Ship registration office.
Quoted provision
Section 17
The Director of Marine may establish a ship registration office and such number of branch offices of the ship registration office as he thinks necessary.
Registration of Ships
Ship must be registered.
Quoted provision
Section 18
(2)
The owner or master of a ship who contravenes subsection (1) commits 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 two years or to both.
Qualification to own
Malaysian ship.
Quoted provision
Section 19
Merchant Shipping (Amendment)
A person is qualified to own a Malaysian ship—
(a)
to be registered under the Malaysia Ship Register if the person is—
(i)
a Malaysian citizen; or
(ii)
to an extent as may be determined by the Minister, a body corporate incorporated in Malaysia;
(b)
to be registered under the Malaysia International
Ship Register if the person is—
(i)
a Malaysian citizen or, subject to subsection 20(3), a non-Malaysian citizen;
(ii)
a body corporate incorporated in
Malaysia; or
(iii)
subject to subsection 20(3), a body corporate incorporated outside
Malaysia; or
(c)
to be registered under the Malaysia Ship
Register or Malaysia International Ship
Register if the person is the charterer of a ship under bareboat charter terms.
Application and requirements for registration.
Quoted provision
Section 20
(a)
shall be made to the Registrar in the form as may be determined by the Director of
Marine;
(b)
shall be accompanied by any documents that can certify compliance in relation to—
(i)
the safety standard of the ship;
(ii)
the risk of pollution from the ship; and
(iii)
the safety and welfare of persons engaged on board the ship; and
(c)
shall be accompanied by any document containing the following particulars:
(i)
the name of the ship and its existing tonnages (if known);
(ii)
a statement of the date when and the place where the ship was built, or if the date and place of building are not known, a statement that the owner or bareboat charterer does not know the date and place of the building of the ship;
(iii)
a statement as to the owner of the ship and the citizenship of the owner, and if the ship is owned by more than one person, the number of shares each owner is entitled to;
(iv)
a statement that no other person is entitled as owner to any legal or beneficial interest in the ship or any share of the ship; and
(v)
such other particulars as may be determined by the Director of Marine.
(2)
The applicant shall ensure that steps are taken to comply with the requirements for survey and measurement of ship, ship’s name and marking of ship as stipulated in sections 21, 22 and 23.
Merchant Shipping (Amendment)
(3)
Where an application to register a ship as a
Malaysian ship under the Malaysia International Ship
Register is made by a non-Malaysian citizen or a body corporate incorporated outside Malaysia, the non-Malaysian citizen or body corporate must appoint a representative person who shall be—
(a)
a Malaysian citizen having his permanent residence in Malaysia; or
(b)
a body corporate incorporated in Malaysia and having its principal place of business in
Malaysia, and the non-Malaysian citizen or body corporate shall ensure that, so long as the ship remains registered, a representative person is so appointed.
(4)
The representative person appointed under subsection (3) shall—
(a)
file documents or furnish information required to be filed or furnished under the Ordinance;
and
(b)
accept service of any documents required to be served on the owner relating to the proceedings for any offence.
(5)
Where an application to register a ship as a
Malaysian ship is made in respect of a ship which has at any time been registered under the law of another country, the application shall be accompanied by evidence to establish—
(a)
that the ship is no longer registered under the law of another country;
(b)
that steps have been taken to terminate the registration of the ship under the law of another country; or
(c)
in the case of a bareboat chartered ship, that the registration of the ship at its primary registry has been suspended or that consent of the authority of primary registry has been obtained to suspend the registration of the ship at the primary registry.
Survey and measurement of ship.
Quoted provision
Section 21
International Ship Register—
(2)
The Surveyor of Ships shall grant a certificate specifying the ship’s tonnage and build and such other particulars descriptive of the identity of the ship as may be required by the Registrar.
(3)
The certificate of measurement shall be delivered to the Registrar before registration.
Ship’s name.
Quoted provision
Section 22
(2)
The Registrar may refuse to approve a proposed name for a ship if the name is—
(a)
undesirable, unacceptable or inappropriate;
(b)
a name with intention to mislead;
(c)
made up of initials only;
(d)
registered in the Register to another ship; or
(e)
a name that has been de-registered in the Register, unless for the purpose of re-registration of the same ship it was registered under.
(3)
The owner of a Malaysian ship shall not change the name of the ship, or cause or permit any such change, without the prior written permission of the
Registrar and the payment of the prescribed fee.
(4)
A person may, subject to the payment of the prescribed fee, apply to reserve a prefix or suffix for a ship in accordance with the regulations made under this Ordinance.
Merchant Shipping (Amendment)
15
Marking of ship.
Quoted provision
Section 23
(2)
The markings on a ship shall be permanently maintained, and no alteration shall be made to them except where any of the particulars denoted by the markings are altered in the manner as provided in the regulations made under this Part.
(3)
An owner or master of a ship who fails to maintain the ship marking as required by this section or the regulations made under this Part commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
(4)
If the scale showing the ship’s draught of water is in any respect inaccurate so as to be likely to mislead, the owner of the ship commits 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 two years or to both.
(5)
A person who, otherwise than as provided under this section or the regulations made under this Part—
(a)
conceals, removes, alters, defaces or obliterates;
or
(b)
suffers any person under his control to conceal, remove, alter, deface or obliterate, any marking required by this section or the regulations made under this Part commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred thousand ringgit or to imprisonment for a term not exceeding two years or to both.
(6)
The Director of Marine may, upon receipt of a certificate from the Surveyor of Ships specifying that a ship is insufficiently or inaccurately marked, detain the ship until the insufficiency or inaccuracy has been remedied.
Additional information and documents and inspection of ship.
Quoted provision
Section 24
Upon receipt of an application for registration of a ship as a Malaysian ship, the Registrar may require the applicant to furnish additional information or documents relating to the ship and the Registrar may go on board the ship to inspect the ship and any documents relating to the ship.
Registration and refusal to register.
Quoted provision
Section 25
(2)
Notwithstanding subsection (1), the Registrar shall not—
(a)
in the case of a registration under the Malaysia
International Ship Register, register a ship that is above the prescribed age and tonnage;
or
(b)
register a bareboat chartered ship as a Malaysian ship without the approval of the Minister.
(3)
The Registrar may refuse to register a ship as a Malaysian ship if he is satisfied that the applicant has not complied with any of the requirements for registration.
(4)
If the Registrar refuses to register a ship as a Malaysian ship, he shall serve a notice on the applicant within fourteen working days from the date of application stating the refusal and the grounds of such refusal.
Provisional registration.
Quoted provision
Section 26
(2)
A provisional certificate of registry issued by the Registrar shall have the same effect as a certificate of registry and the provisions of this Part relating to certificate of registry shall apply to the provisional certificate of registry.
Prohibition of registration.
Quoted provision
Section 27
Merchant Shipping (Amendment)
(2)
The certificate issued under subsection (1)
shall be admissible in evidence and shall constitute prima facie proof of the facts set out in the certificate without proof of the signature of the Minister to such certificate.
Certificate of registry.
Quoted provision
Section 28
(2)
A certificate of registry shall be valid for a period as may be determined by the Registrar and may be renewed.
(3)
The master or owner of a Malaysian ship shall not use or permit the use of, for the purpose of navigation of the ship, a certificate of registry that has not been issued under this section or has expired and is not in force in respect of the ship.
(4)
The master or owner of a Malaysian ship who contravenes subsection (3) commits 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 two years or to both.
(5)
A ship registered under this Part may be detained until the owner or master of the ship produces the certificate of registry for that ship.
Duty to inform change of particulars after registration.
Quoted provision
Section 29
(2)
The master or owner of a Malaysian ship who contravenes subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding fifty thousand ringgit or to imprisonment for a term not exceeding two years or to both.
Custody of certificate of registry.
Quoted provision
Section 30
(2)
Where any person, whether interested in the ship or not, refuses on request to deliver up the certificate of registry when in his possession or under his control to the person entitled to the custody of the certificate for the purposes of the lawful navigation of the ship, or to the Registrar, any authorized officer, officer of customs, or other person entitled by law to require such delivery, any Magistrate may summon the person so refusing to appear before him, and to be summarily examined before him, unless it is proved to the satisfaction of the Magistrate that there was reasonable cause for such refusal, that person commits 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 two years or to both.
Issuance of new certificate of registry.
Quoted provision
Section 31
(2)
If a new certificate of registry is issued under subsection (1), the original certificate of registry shall be deemed to have been revoked.
Merchant Shipping (Amendment)
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Suspension of registration.
Quoted provision
Section 32
The Registrar may suspend the registration of a
(a)
on the application of the owner; or
(b)
if the ship is taken in war or hostilities, as a result of which the owner or bareboat charterer has lost control over the operation of the ship.
Termination of registration.
Quoted provision
Section 33
Malaysian ship—
The Registrar may terminate the registration of a Malaysian ship—
(a)
on the application of the owner;
(b)
where being a ship registered in the Malaysia
Ship Register, the ship ceases to be owned by one or more persons qualified to own a
Malaysian ship;
(c)
where being a bareboat chartered-in ship—
(i)
the ship ceases to be operated under a bareboat charter;
(ii)
the rights and obligations of the bareboat charterer under the bareboat charter terms are assigned;
(iii)
the primary registry in respect of the ship is closed or annulled; or
(iv)
the consent referred to in paragraph 20(5)(c) is revoked or withdrawn;
(d)
where being a provisionally registered ship—
(i)
the owner of the ship fails to obtain a deletion certificate from the previous registry;
(ii)
the ownership of the ship is in dispute;
or
(iii)
the period of provisional registration has lapsed;
(e)
if the ship is broken up, or is an actual or a constructive total loss such that it is no longer capable of being used in navigation;
(f)
if the ship, other than a bareboat chartered-in ship, at the time of registration remains registered in a place outside Malaysia;
(g)
if the ship, other than a bareboat chartered-out ship, subsequently becomes registered in a place outside Malaysia; or
(h)
if a representative person ceases to be appointed in relation to the ship.
Deletion from
Register.
Quoted provision
Section 34
(a)
on an application by the owner; or
(b)
when the registration of the ship is terminated in accordance with section 33.
(2)
If an encumbrance has been registered on the ship, the Registrar shall notify the circumstances of the case to the holder of the rights, and the deletion from the Register shall not affect the encumbrance whatsoever and all its priorities shall remain.
Revocation of certificate of registry.
Quoted provision
Section 35
(a)
when the registration of the ship is suspended;
or
(b)
when the registration of the ship is terminated.
(2)
A certificate of registry is deemed revoked when the period of validity of the certificate of registry has lapsed.
(3)
Upon the revocation of a certificate of registry, the owner or master of the ship shall surrender the certificate of registry to the Registrar for cancellation.
Merchant Shipping (Amendment)
(4)
An owner or master who fails to surrender the certificate of registry or continues to use the certificate of registry upon its revocation, commits 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 two years or to both.
Notice of registration, suspension and revocation to primary registry.
Quoted provision
Section 36
Where a bareboat chartered ship is registered or where its registration is terminated or suspended, the
Director of Marine shall notify the authority in the country of primary registry, of the particulars of the registration, termination or suspension.
Rights of owner of
Malaysian ship.
Quoted provision
Section 37
(2)
Notwithstanding subsection (1), any interests arising under contract or other equitable interests may be enforced by or against the owners and mortgagees of ships in respect of their interest in the ship in the same manner as in respect of any personal property.
Malaysian ship on bareboat chartered-out.
Quoted provision
Section 38
(2)
Notwithstanding subsection (1), the Minister may disallow any Malaysian ship to be bareboat chartered-out for any reason and duration as he thinks fit.
(3)
The registration of a bareboat chartered-out ship shall be suspended while the ship is bareboat chartered-out and re-registered in another country.
(4)
The owner of a bareboat chartered-out ship shall immediately surrender the certificate of registry of the ship once the registration of the bareboat chartered-out ship in another country is complete.
Transfers, transmission and mortgage
Transfer of
Malaysian ship.
Quoted provision
Section 39
(2)
Where any registered Malaysian ship or a share therein has been transferred in accordance with subsection (1), the transferee shall not be registered as owner of the ship unless—
(a)
he has made an application to the Registrar in the form as may be determined by the
Director of Marine; and
(b)
the Registrar is satisfied that the ship continues to be owned to an extent as may be determined by the Minister by a person who is qualified to own a Malaysian ship and that he would not refuse to register the ship.
(3)
Where an application under subsection (2) is granted by the Registrar, he shall register the bill of sale.
Transmission of shares in
Malaysian ship.
Quoted provision
Section 40
(a)
he has made an application to the Registrar;
and
(b)
the Registrar is satisfied that the ship continues to be owned to an extent as may be determined by the Minister by a person who is qualified to own a Malaysian ship.
(2)
Where an application under subsection (1) is granted by the Registrar, he shall cause the applicant’s name to be registered as the owner of the ship.
Merchant Shipping (Amendment)
23
Transmission of shares in registered ship by order of Court.
Quoted provision
Section 41
(2)
The Court may require any evidence in support of the application as it thinks fit, and may make the order for sale on any terms and conditions it thinks just, or may refuse to make the order and generally may act as it thinks fit.
(3)
Every such application shall be made within the period of twenty-eight days beginning with the date of the occurrence of the event on which the transmission had taken place or within such extended period as the Court may allow, but such period shall not exceed one year beginning with the date of the occurrence of that event.
(4)
The shares transmitted under subsection (1)
shall be liable to forfeiture if such an application is not made within the time allowed by or under subsection (3) or the Court refuses an order for sale under subsection (2).
Court order on the sale of registered ship.
Quoted provision
Section 42
(2)
The person so named shall be entitled to transfer the property in the ship in the same manner and to the same extent as if he were the registered owner of the ship.
(3)
The Registrar shall deal with any application relating to the transfer of the property in the ship made by the person so named as if that person were the registered owner of the ship.
The Court may prohibit dealing with registered ship.
Quoted provision
Section 43
The Court may, if it thinks fit and without prejudice to the exercise of any other power, on the application of any interested person make an order prohibiting for a specified time any dealing with a registered ship.
Mortgage of registered ship.
Quoted provision
Section 44
(2)
The instrument creating any such security referred to in this Part as a mortgage shall be in the form as may be determined by the Director of Marine.
(3)
Where a mortgage executed in accordance with subsection (2) is produced to the Registrar, he shall register the mortgage in the order in which it is produced to the Registrar for the purpose of registration.
Priority of registered mortgages.
Quoted provision
Section 45
Where two or more mortgages are registered in respect of the same ship, the priority of the mortgagees between themselves shall be determined by the order in which the mortgages were registered and not by reference to any other matter.
Registered mortgagee’s power of sale.
Quoted provision
Section 46
(2)
Where two or more mortgagees are registered in respect of the same ship, a subsequent mortgagee shall not, except under an order of the Court, sell the ship without the concurrence of every prior mortgagee.
Merchant Shipping (Amendment)
25
Assignment of registered mortgage or share.
Quoted provision
Section 47
(2)
On production of the deed of assignment to the
Registrar, he shall record in the Register the name of the assignee of the mortgage and certify the entry on the deed of assignment.
(3)
The assignee shall have the same right of preference as the assignor.
Protection of registered mortgagors.
Quoted provision
Section 48
Where a ship is subject to a registered mortgage—
(a)
except so far as may be necessary for making the ship available as a security for the mortgage debt, the mortgagee shall not by reason of the mortgage be treated as owner of the ship; and
(b)
the mortgagor shall be treated as not having ceased to be owner of the ship.
Transmission of mortgage by operation of law.
Quoted provision
Section 49
Where the interest of a mortgagee in a registered mortgage is transmitted to any person by any lawful means other than by an assignment under section 47, the Registrar shall on production of the evidence to the satisfaction of the Registrar, cause the name of that person to be entered in the Register as mortgagee of that ship.
Discharge of registered mortgage.
Quoted provision
Section 50
Where a registered mortgage has been discharged, the Registrar shall, on production of the mortgage deed and such evidence of the discharge of the mortgage, cause an entry to be made in the Register to the effect that the mortgage has been discharged.
Protection of undischarged mortgage.
Quoted provision
Section 51
Where the registration of any ship has been terminated under this Ordinance, the termination of that registration shall not affect any entry made in the Register so far as relating to any undischarged mortgage of that ship or of any share in it.
Mortgage not affected by bankruptcy.
Quoted provision
Section 52
A registered mortgage of a ship or share in a ship shall not be affected by the mortgagor having been adjudicated bankrupt after the date of registration of the mortgage, notwithstanding the ship or share is in the possession of the mortgagor at the date of adjudication and the mortgagee shall have preference over any right, claim or interest in the ship or share of any creditor, trustee or assignee.
Non-application.
Quoted provision
Section 53
Sections 39 to 52 shall not apply to a bareboat chartered-in ship and any matters or questions corresponding to those for which the provisions apply shall be determined by reference to the law of the country of primary registry.
Licensing of ships
Licensing.
Quoted provision
Section 54
(a)
trade or business;
(b)
the transportation of any person other than for trade or business; or
(c)
sports, leisure or recreational activity, shall obtain a licence under this Part.
(2)
A person who contravenes subsection (1) commits 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 two years or to both.
(3)
In this section, “trade or business” includes—
(a)
the conveyance of goods or passengers;
(b)
fishing;
(c)
salvage operations;
Merchant Shipping (Amendment)
(d)
dredging;
(e)
cable-laying;
(f)
off-shore exploration;
(g)
conservation;
(h)
marine construction;
(i)
oceanography;
(j)
hydrography; and
(k)
port services.
Exemption from licensing.
Quoted provision
Section 55
The following ships are exempted from the requirement for licence under section 54:
(a)
any ship, including a fishing vessel, registered under this Ordinance or any other written laws in Malaysia;
(b)
any ship, not being a fishing vessel, which is duly registered in accordance with the laws of any country outside Malaysia;
(c)
a ship’s life boat;
(d)
a fishing vessel licensed under the Fisheries
Act 1985 [Act 317];
(e)
a foreign fishing vessel to which a permit has been issued under the Fisheries Act 1985;
(f)
in relation to the State of Sabah, any vessel licensed under the Merchant
Shipping Ordinance 1960 of Sabah [Sabah
Ordinance 11/1960] and in relation to the
State of Sarawak, any vessel licensed under the Merchant Shipping Ordinance 1960 of
Sarawak [Sarawak Ordinance 2/1960]; and
(g)
any class or description of ship specified by the Minister by order published in the
Gazette.
Licensing officer.
Quoted provision
Section 56
The Director of Marine may appoint any public officer as a licensing officer to perform the functions in connection with licensing of ships under this Part.
Application and requirements for a licence.
Quoted provision
Section 57
(a)
in the form and manner as may be determined by the Director of Marine; and
(b)
accompanied by the information and document as may be determined by the Director of
Marine.
(2)
In addition to subsection (1), the applicant shall ensure that steps are taken to comply with the requirements for survey and measurement of ship, ship’s name and marking of ship as stipulated in sections 21, 22 and 23 or in the regulations made under this Part.
Additional information and documents and inspection of ship.
Quoted provision
Section 58
Upon receipt of an application for a licence under section 57, the licensing officer may require the applicant to furnish additional information or documents relating to the ship and the licensing officer may go on board the ship to inspect the ship and any documents relating to the ship.
Issuance of licence and refusal to issue licence.
Quoted provision
Section 59
(2)
The Director of Marine may determine the terms and conditions to be attached to a licence issued under subsection (1).
(3)
A licence issued under this section shall be valid for a period as may be determined by the Director of Marine and may be renewed.
(4)
The licensing officer shall refuse to issue a licence if he is satisfied that the applicant has not complied with any of the requirements for a licence.
(5)
If the licensing officer refuses to issue a licence, he shall serve a notice on the applicant within fourteen working days from the date of application stating the refusal and the grounds upon which such refusal is made.
Merchant Shipping (Amendment)
29
Record of licences.
Quoted provision
Section 60
(2)
The licensing officer shall maintain in both physical or electronic form the record of licences as may be determined by the Director of Marine.
Custody of licence.
Quoted provision
Section 61
The owner of a ship licensed under section 59
shall cause the licence to be kept at all times on board the ship in custody of the person in charge of the ship.
Ships licensed under this
Part shall not proceed beyond coastal waters of
State.
Quoted provision
Section 62
(2)
Notwithstanding subsection (1), such ship may proceed beyond the coastal waters of a State up to the outer limits of the Malaysian waters if—
(a)
it is expressly allowed in the terms of the licence;
(b)
it is necessary due to stress of weather; or
(c)
it is due to other causes beyond the control of the master.
(3)
For the purpose of this section, “coastal waters”
means part of the sea adjacent to the coast of a State not exceeding three nautical miles measured from the low-water line.
Offences relating to unlicensed ship.
Quoted provision
Section 63
Any person who uses a ship or causes or permits a ship to be used for a purpose other than the purpose for which it is licensed or contrary to the conditions of the licence commits 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 two years or to both.
Malaysia Shipping Development Fund
Interpretation.
Quoted provision
Section 64
For the purposes of sections 65 to 68f—
“Committee” means the Malaysia Shipping
Development Fund Committee established under section 66;
“Fund” means the Malaysia Shipping Development
Fund established under section 65.
Establishment of the Fund.
Quoted provision
Section 65
(2)
The Fund shall consist of the annual tonnage fees collected under this Part.
(3)
The Fund shall be expended for the following purposes:
(a)
to improve the shipping industry;
(b)
to provide awards, fellowships, scholarships and research grants relating to the shipping industry;
(c)
to sponsor research projects undertaken by organizations, institutions of higher learning or individuals for the purpose of the shipping industry;
(d)
to organize seminars, expositions and other similar activities relating to the shipping industry;
(e)
to pay any other expenses properly incurred by the Committee in the execution of its functions under this Part.
(4)
All costs, charges and expenses of administering the Fund shall be chargeable to the Fund and may be paid out of the Fund from time to time.
Merchant Shipping (Amendment)
(5)
The moneys of the Fund, in so far as they are not immediately required to be expended by the
Committee under this Part, shall be invested in such manner as the Minister may, with the concurrence of the Minister of Finance, approve.
Establishment of the
Committee.
Quoted provision
Section 66
(2)
The Committee shall consist of the following members to be appointed by the Minister by notification in the Gazette:
(a)
the Director of Marine as the Chairman;
(b)
a representative of the Ministry of Transport;
(c)
a representative of the Ministry of Finance;
(d)
a representative of the Marine Department;
(e)
a representative of the Government of the
State of Sabah;
(f)
a representative of the Government of the
State of Sarawak; and
(g)
not less than three but not more than five other persons who have wide experience or special knowledge in matters relating to shipping.
(3)
The Minister may, in respect of each member of the Committee appointed under paragraph (2)(g), appoint an alternate member who may attend any meeting of the Committee when the member in respect of whom he is an alternate to is for any reason unable to attend the meeting; and an alternate member when attending the meeting shall be deemed to be a member of the Committee.
(4)
The Minister may appoint any member temporarily to exercise the functions of the Chairman during the temporary absence of the Chairman due to incapacity, illness or any other cause and that member shall, during the period in which he is exercising the functions of the Chairman, be deemed to be the Chairman.
(5)
A member of the Committee appointed under subsection (2) shall, unless he sooner resigns or his appointment is sooner revoked or he otherwise vacates his office, hold office for a period of two years from the date of his appointment and shall be eligible for reappointment.
(6)
An alternate member shall, unless he sooner resigns or his appointment is sooner revoked, cease to be an alternate member when the member in respect of whom he is an alternate member to ceases to be a member of the Committee.
Functions of the
Committee.
Quoted provision
Section 67
The functions of the Committee shall be to control and administer the moneys of the Fund for the improvement of the shipping industry and for purposes ancillary thereto.
Disclosure of financial interest.
Quoted provision
Section 68
(2)
Where a corporation has an interest in the shipping industry, a member of the Committee shall be deemed to have a financial interest in that corporation if—
(a)
the corporation is, or its directors are accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of that member in relation to any matter;
(b)
that member has a controlling interest in the corporation; or
(c)
that member and his associates are entitled to exercise or control the exercise of not less than one-tenth of the votes attached to the voting shares in the corporation.
Merchant Shipping (Amendment)
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Financial interest of spouse or child of member.
Quoted provision
Section 68a
(2)
A member of the Committee shall, within fourteen days of his spouse or child acquiring any such financial interest, notify the Committee in writing of such acquisition and if he fails to do so he commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
(3)
A financial interest shall not be disregarded by reason only of—
(a)
its remoteness;
(b)
the manner in which it arose; or
(c)
the fact that the financial interest is, or is capable of being made subject to restraint and restriction.
Register of members’
financial interest.
Quoted provision
Section 68b
The Committee shall keep and maintain or cause to be kept and maintained a register of members’
financial interest and within fourteen days of receiving information regarding such interest, shall cause to be entered in the register that information and the date of entry corresponding to the member’s name.
R e p o r t o f activities to the Minister.
Quoted provision
Section 68c
The Committee shall, not later than 30 June of each year, cause to be made and transmitted to the Minister a report dealing with the activities of the Committee during the preceding year, and may contain such information as the Minister may from time to time require.
Audit.
Quoted provision
Section 68d
(2)
The Committee shall, not later than 31 March of the following year or such later date as the
Minister of Finance may determine, transmit to the
Auditor-General the financial statements of the accounts referred to in subsection (1) which will consist of the balance sheet, profit and loss statement and such other supporting statements as may be required by the Minister of Finance.
(3)
The audited statements shall be submitted to the Minister of Finance, who shall cause them to be laid before each House of Parliament.
Regulations. 68e. The Minister may make such regulations as may be necessary or expedient and for giving full effect to the provisions relating to the Fund.
Issuance of directions.
Quoted provision
Section 68f
The Minister may issue general directions to the Committee which shall be consistent with this
Ordinance and the Committee shall comply with such directions.
Authorized officer
Authorized officer.
Quoted provision
Section 68g
(2)
For the purpose of any such inspection or investigation, the authorized officer shall have the powers conferred to an Inspector under this Ordinance.
(3)
Notwithstanding subsection (2), an authorized officer shall have the power to do all things necessary or expedient to be done, in connection with, or incidental to the performance of his functions.
Merchant Shipping (Amendment)
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Miscellaneous
Electronic filing of documents.
Quoted provision
Section 68h
(2)
A person who intends to use the service provided under subsection (1) shall become a subscriber to the service by paying the prescribed fee and complying with such terms and conditions as may be determined by the Director of Marine.
(3)
The Director of Marine may determine the documents that may be electronically filed.
(4)
A document electronically filed under this section shall be deemed to have satisfied the requirement for the submission of such documents if the document is communicated or transmitted to the Registrar or licensing officer in such manner as may be determined by the Director of Marine.
(5)
A document that is required to be stamped, signed or sealed shall, if it is to be electronically filed, be certified or authenticated in such manner as may be determined by the Director of Marine.
(6)
A copy of or an extract from any document electronically filed with the Registrar or licensing officer under subsection (1) supplied or issued by the Registrar or licensing officer and certified under the hand of the Registrar or licensing officer to be a true copy of or an extract from such document shall be admissible in evidence in any proceedings as of equal validity as the original document.
(7)
Where a document is electronically filed with the Registrar or licensing officer, the Registrar or licensing officer shall not be liable for any loss or damage suffered by any person by reason of any error or omission of whatever nature or however arising appearing in any document obtained by any person under the service referred to in subsection (1), if such error or omission was made in good faith and in the ordinary course of the discharge of the duties of the Registrar or licensing officer or occurred or arose as a result of any defect or breakdown in the service or in the equipment used for the provision of the service.
National colours and other colours allowed.
Quoted provision
Section 68i
(2)
The Director of Marine shall determine the colours for ships owned by the Government or in the service of the Government.
(3)
Notwithstanding subsection (1), any colour allowed to be worn in accordance with a warrant from the Yang di-Pertuan Agong shall also be the proper national colours for a registered Malaysian ship.
Penalty for carrying improper colour.
Quoted provision
Section 68j
(a)
any distinctive national colours, other than the red ensign and any proper national colour allowed to be worn under subsection 68i;
(b)
any colour usually worn by the ships of the
Royal Malaysian Navy or resembling those of the Royal Malaysian Navy; or
(c)
the pennant usually carried by the ships of the Royal Malaysian Navy or any pennant resembling that pennant,
Merchant Shipping (Amendment)
37
are hoisted on board any registered Malaysian ship without warrant from the Yang di-Pertuan Agong, the master or the owner of the ship, and every other person hoisting it commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
(2)
If any colour or pennant is hoisted on board a ship in contravention of subsection (1)—
(a)
any commissioned naval or military officer;
(b)
any police officer with a rank of an Inspector and above;
(c)
any authorized officer; and
(d)
any Malaysian consular officer, may go on board the ship and seize the colour or pennant.
(3)
Any colour or pennant seized under subsection (2)
shall be forfeited by the Government.
Duty to show
Malaysian ensign.
Quoted provision
Section 68k
(a)
on a signal, instruction or order being made to the ship by any ship of the Royal Malaysian
Navy, including any ship under the command of a commissioned naval officer, or any ship or aircraft owned by the Government;
(b)
on entering or leaving any Malaysian or foreign port; and
(c)
while in a Malaysian port from sunrise to sunset.
(2)
Any master who contravenes subsection (1)
commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
Offences relating to assuming
Malaysian character of ship.
Quoted provision
Section 68l
(2)
If the master or owner of a Malaysian ship does anything, or permits anything to be done, for the purpose of concealing the Malaysian nationality of the ship, the ship shall be liable to forfeiture and the master and owner of the ship commit an offence.
(3)
No liability arises under subsection (1) or (2), where the assumption of the character of a Malaysian ship or the concealment of the Malaysian nationality of a ship has been made for the purpose of escaping capture by an enemy, or by a foreign ship of war in the exercise of some belligerent right.
(4)
Where the registration of any ship has been terminated, any marks which are prescribed by the regulations and displayed on the ship within the period of fourteen days beginning with the date of termination of that registration shall be disregarded for the purposes of subsections (1) and (2).
(5)
Any person who commits an offence under this section shall, on conviction, be liable to a fine not exceeding five hundred thousand ringgit or to imprisonment for a term not exceeding five years or to both.
Duty to declare national character of ship.
Quoted provision
Section 68m
(2)
If a ship proceeds or attempts to proceed to the sea without the declaration as required under subsection (1), the master commits 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 two years or to both and the ship may be detained until the declaration is made.
Merchant Shipping (Amendment)
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Taking detained ship on a voyage or excursion.
Quoted provision
Section 68n
(2)
Where a ship—
(a)
proceeds or attempts to proceed to the sea in contravention of subsection (1); and
(b)
has on board a public officer acting in the execution of his duty or any person acting on behalf of the public officer, the master and the owner of the ship or bareboat charterer each commit an offence and shall, on conviction, be liable to a fine not exceeding two hundred thousand ringgit or to imprisonment for a term not exceeding two years or to both.
(3)
The master and the owner of the ship or the bareboat charterer shall jointly and severally be liable to pay all expenses incidental to the taking of the public officer or the person acting on behalf of the public officer on the voyage and for securing his return to the port he was taken from in Malaysia, and all such expenses shall be a debt due to the government and may be recovered in the same manner as a fine.
Offences relating to
Malaysian ship ownership.
Quoted provision
Section 68o
(2)
Any person who intentionally alters, suppresses, conceals or destroys a document which contains information relating to the status of ownership and the qualification to be an owner of a Malaysian ship and which he has been required to produce to the Registrar under this Ordinance, commits 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 two years or to both.
(3)
Any owner who fails to comply with subsection (1)
commits 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 two years or to both.
False declaration or information.
Quoted provision
Section 68p
Any person who—
(a)
makes any false or misleading statements or furnishes any false or misleading information to the Registrar, licensing officer or authorized officer pursuant to a requirement to make any statement or furnish any information, whether in an application or otherwise, as specified under this Part; or
(b)
makes any false declaration or produces any forged certificate, commits an offence and shall, on conviction, be liable to a fine not exceeding five hundred thousand ringgit or to imprisonment for a term not exceeding three years or to both.
Regulations.
Quoted provision
Section 68q
(2)
Without prejudice to the generality of subsection (1), the regulations may—
(a)
prescribe the number of owners, including joint owners, of a ship permitted for the purposes of registration, and the persons required or permitted to be registered in respect of a ship or to be so registered in specified circumstances;
Merchant Shipping (Amendment)
(b)
provide for any matters relating to registration, re-registration and licensing of ships;
(c)
provide for any matters relating to ship’s name;
(d)
provide for any matters relating to survey and marking of ships;
(e)
provide for any matters relating to suspension, termination or closure of the registration of ships, including matters such as the removal of the markings on the ships;
(f)
provide for any matters relating to ascertainment of the tonnage of any ship;
(g)
prescribe the trading limits or areas for ships registered under the Malaysia Ship Register or Malaysia International Ship Register;
(h)
provide for any matters relating to representative person;
(i)
provide for any matters relating to the safety standard of ships to be registered or licensed under this Part;
(j)
prescribe the fees required to be prescribed under this Part and the manner of their collection;
(k)
provide for any matters relating to ships that are bareboat chartered-out;
(l)
prescribe the age and tonnage of ships to be registered under this Part; and
(m)
prescribe any other matters which is required by this Part to be prescribed.
(3)
Regulations made under this Part may prescribe any act in contravention of the regulations to be an offence and may prescribe penalties of a fine not exceeding two hundred thousand ringgit or imprisonment for a term not exceeding two years or to both for such offence.
Part IIa
DOMESTIC SHIPPING
Interpretation. 68r. In this Part, unless the context otherwise requires—
“authorized officer” means any person appointed by the Director of Marine as an authorized officer under section 68g;
“Board” means the Domestic Shipping Licensing
Board established under section 68ad;
“domestic shipping” means the use of ship for—
(a)
services in Malaysian waters or the exclusive economic zone other than fishing; or
(b)
the shipment of goods or carriage of passengers from or to any port or place in Malaysia to or from another port or place in Malaysia or the exclusive economic zone;
“domestic shipping officer” means an officer appointed under section 68af;
“licence” means a domestic shipping licence.
Prohibition on non-Malaysian ships engaging in domestic shipping.
Quoted provision
Section 68s
(2)
The master or owner of a ship who contravenes subsection (1) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.
Licence for domestic shipping.
Quoted provision
Section 68t
(2)
The owner or master of a ship who contravenes subsection (1) commits 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 two years or to both.
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Exemption.
Quoted provision
Section 68u
A Malaysian ship of less than fifteen net tonnage is exempted from the provisions of this Part.
Permission to engage in domestic shipping.
Quoted provision
Section 68v
The Minister may, subject to such conditions and restrictions as he may determine, permit any class of ships other than ships referred to under section 68u to engage in domestic shipping.
Application and issuance of licence.
Quoted provision
Section 68w
(2)
The domestic shipping officer may refuse to determine an application made otherwise than in accordance with this Part.
(3)
A licence issued shall be for such duration and subject to such conditions as the domestic shipping officer considers necessary.
Furnishing of information.
Quoted provision
Section 68x
The domestic shipping officer may, by notice, require the owner or master of any ship in respect of which a licence is issued or is to be issued to furnish within the period specified in the notice information on—
(a)
the classes of passengers or goods which the ship is capable of carrying or has carried during any specified period;
(b)
the type of services engaged in by the ship;
(c)
the rates of freight or charter charges applicable to the ship; and
(d)
any other relevant matter.
Revocation of licence.
Quoted provision
Section 68y
(a)
contravened any of the provisions of this
Ordinance; or
(b)
committed a breach of any of the terms or conditions of the licence.
(2)
Notwithstanding subsection (1), the licensing officer shall give the licensee reasonable opportunity to make a representation against the intended revocation.
(3)
If a licensing officer revokes a licence under this section, the licensee shall surrender the licence to the domestic shipping officer within fourteen days of the notice of revocation, and if the licensee without lawful excuse fails to do so, he commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
Appeal.
Quoted provision
Section 68z
Any person aggrieved by the decision of the domestic shipping officer to refuse to issue or revoke a licence may, within fourteen days of the decision being made known to him in writing, appeal to the
Board whose decision shall be final.
Power of authorized officer to board ship.
68aa. (1) For the purpose of ensuring that the provisions of this Part are complied with, the Director of Marine or any authorized officer may go on board any ship in Malaysian waters or the exclusive economic zone and—
(a)
require the master or owner of the ship to give such information relating to the ship, its cargo, stores, crew, passengers or voyage as he may consider necessary; and
(b)
demand to inspect all documents which ought to be on board the ship and require all or any of such documents to be brought to him for inspection.
(2)
A master or owner of any ship—
(a)
who, without lawful excuse, refuses to allow the Director of Marine or any authorized officer to board the ship;
(b)
when so required by the Director of Marine or authorized officer refuses or fails to submit the required documents;
Merchant Shipping (Amendment)
(c)
who, in submitting the required document, knowingly makes any statement that is false in a material particular; or
(d)
who, with intent to deceive, furnishes a document that is false in a material particular, commits 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 two years or to both.
Power to detain ships.
68ab. (1) The Director of Marine or any authorized officer may detain any ship if he has reasonable cause to suspect that there has been a contravention of section 68s or 68t.
(2)
Any ship that has been detained under subsection (1)
may be released upon the deposit of a financial security with the Director of Marine for an amount to be determined by him.
Register of domestic shipping licences.
68ac. A domestic shipping officer shall keep or cause to be kept a register of domestic shipping licences into which he shall enter particulars of licences that have been approved.
Domestic Shipping Licensing Board
Establishment and composition of the Board.
68ad. (1) There is established a board to be called the “Domestic Shipping Licensing Board”.
(2)
The Board shall consist of the following members to be appointed by the Minister:
(a)
the Secretary-General of the Ministry of
Transport who shall be the Chairman;
(b)
the Director of Marine or his representative;
(c)
a representative of the Ministry of Transport;
(d)
a representative of the Government of the
State of Sabah and a representative of the
Government of the State of Sarawak; and
(e)
not less than five other persons, who have wide experience or special knowledge in matters relating to shipping.
(3)
The Minister may, in respect of each member of the Board appointed under paragraph (2)(e), appoint an alternate member who may attend any meeting of the Board when the member in respect of whom he is an alternate to is for any reason unable to attend the meeting; and an alternate member when attending the meeting shall be deemed to be a member of the
Board.
(4)
No person shall be appointed as a member or alternate member of the Board unless prior to the appointment he makes a statutory declaration as to whether he has any and if so what financial interest in any undertaking providing domestic shipping.
(5)
The appointment of every member and alternate member of the Board shall be published in the Gazette.
(6)
The Minister may appoint any member temporarily to exercise the functions of the Chairman during the temporary absence of the Chairman due to incapacity, illness or any other cause and that member shall, during the period in which he is exercising the functions of the Chairman, be deemed to be the Chairman.
(7)
A member of the Board appointed under subsection (2) shall, unless he sooner resigns or his appointment is sooner revoked or he otherwise vacates his office, hold office for a period of two years from the date of his appointment and shall be eligible for reappointment.
(8)
An alternate member, unless he sooner resigns or his appointment is sooner revoked, shall cease to be an alternate member when the member in respect of whom he is an alternate member to ceases to be a member of the Board.
Merchant Shipping (Amendment)
(9)
There shall be paid to members of the Board, or to such of them as the Minister may determine, such allowances as he may determine.
(10)
No member of the Board shall incur personal liability for loss or damage caused by an act or omission in administering the affairs of the Board, unless the loss or damage is occasioned by an intentionally wrongful act or omission on his part.
(11)
All members of the Board shall be deemed to be public servants within the meaning of the Penal
Code.
Functions of the Board.
68ae. The functions of the Board shall be:
(a)
to control matters relating to domestic shipping;
(b)
to issue general directions to the Director of
Marine including that in relation to conditions for the issuance of domestic shipping licence;
and
(c)
to advise the Minister on matters relating to domestic shipping.
Appointment of domestic shipping officers.
68af. (1) The Board may appoint such number of domestic shipping officers for the purposes of dealing with applications for the domestic shipping licences and all matters related to the domestic shipping licencing.
(2)
Every domestic shipping officer shall comply with all directions issued by the Board in pursuance of paragraph 68ae(b).
Disclosure of financial interest.
68ag. (1) A member of the Board appointed under paragraph 68ad(2)(e) who acquires any financial interest after his appointment in any undertaking providing domestic shipping shall within four weeks after so doing, or if he does not know of the financial interest within four weeks after it comes to his knowledge, give notice in writing to the Minister specifying the financial interest so acquired; and the Minister may if he thinks fit revoke the appointment of that member.
(2)
Where a corporation has an interest in shipping, a person shall be deemed to have a financial interest in that corporation if—
(a)
the corporation is, or its directors are accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of that person in relation to any shipping matter;
(b)
that person has a controlling interest in the corporation; or
(c)
that person or his associates, or that person and his associates are entitled to exercise or control the exercise of not less than one-tenth of the votes attached to the voting shares in the corporation.
Financial interest of a spouse or child of a member.
68ah. (1) Any financial interest in any undertaking providing domestic shipping of the spouse, or a child under the age of majority of a member of the
Board shall be deemed to be a financial interest of the member.
(2)
A member of the Board shall, within four weeks of his spouse or child under the age of majority acquiring any financial interest in an undertaking providing domestic shipping, notify the Minister in writing of such acquisition and if he fails to do so he commits an offence and shall, on conviction, be liable to a fine not exceeding twenty-five thousand ringgit or to imprisonment for a term not exceeding one year or to both.
(3)
A financial interest in an undertaking providing domestic shipping shall not be disregarded by reason only of—
(a)
its remoteness;
(b)
the manner in which it arose; or
(c)
the fact that the financial interest is, or is capable of being made subject to restraint and restriction.
Merchant Shipping (Amendment)
49
Register of members’
financial interest.
68ai. The Board shall keep and maintain or cause to be kept and maintained a register of members’
financial interest in any undertaking providing domestic shipping; and within fourteen days of receiving information regarding such interest shall cause to be entered in the register that information and the date of entry against the member’s name.
Annual report.
68aj. The Board shall not later than 30 June of each year cause to be made and transmitted to the Minister a report dealing with the activities of the Board during the preceding year, and may contain such information as the Minister may from time to time require.
Regulations.
68ak. The Minister may make regulations as may be necessary or expedient for giving effect to or for carrying out the provisions of this Part, and without prejudice to the generality of the foregoing provisions, the regulations may—
(a)
prescribe the procedure for the application for a licence under this Part and matters associated with such application, including the particulars to be supplied at the time of application;
(b)
provide for the issuance and renewal of licences and other associated matters, including the form of the licence, the fees payable and the manner of payment of the fees;
(c)
prescribe the fares or rates which may be charged for the provision of domestic shipping by any ship engaged on any route or sector involved in domestic shipping;
(d)
prescribe that offences committed under the regulations are punishable with imprisonment for a term not exceeding six months or a fine not exceeding twenty-five thousand ringgit or to both;
(e)
prescribe in respect of anything which is required to be or which may be prescribed under this Part;
(f)
prescribe the manner and procedures for the
Board to conduct its business; and
(g)
provide for any other matter which may be expedient or necessary for the better carrying out of the provisions of this Part.
Minister may issue directions.
68al. The Minister may issue to the Board general directions which shall be consistent with this Ordinance and the Board shall comply with such directions.”.
Deletion of sections 473, 473b, 474, 475, 476, 477, 478, 479,
480, 481, 482, 483, 483a, 483b, 483c, 484 and 485