Islamic Financial Services Act 2013 · Updated to 2 Jan 2025 · Part XIV · Intervention and Remedial Action
189. Additional provisions relating to compulsory transfer
Official textFrom Laws of Malaysia Online, unchanged
The Third Schedule of the Central Bank of Malaysia
Act 2009 shall apply in relation to an order of the Bank under this
Subdivision, with modifications, as provided in Schedule 13 and the
Minister may prescribe any other modification as may be necessary to give effect to such order.
Where the Bank makes an order under this Subdivision to a licensed person, the Bank shall—
notify that fact in the Gazette; and
give notice of such order as soon as is practicable by publication in at least two daily newspapers published in
Malaysia, one of which shall be in the national language.
The notice under paragraph (2)(b) shall include the transacted price of the transfer and the right of any aggrieved person to appeal on the transacted price to the Assessor Committee.
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The transacted price referred to in subsection (3) shall be determined by an independent valuer.
Subject to subsection (9), the transferee and the transferor shall mutually agree on the person to be appointed by the Bank as the independent valuer referred to in subsection (4).
Where an agreement under subsection (5) cannot be reached between the transferee and the transferor within a period the Bank determines to be reasonable, the Bank shall refer the matter to the
agreement
“agreement” means an agreement whether formal or informal, oral or written, express or implied;
Minister and the appointment of an independent valuer shall be made by the Minister.
The remuneration of the independent valuer appointed under subsection (5) or (6) shall be payable out of the transacted price unless otherwise determined by the Bank.
In determining the transacted price under subsection (4) for the business, assets or liabilities of the transferor, the independent valuer shall—
have regard to matters which the independent valuer considers relevant including the prevailing market conditions for sale or disposal of similar business, assets or liabilities of the transferor; and
disregard any benefit derived from any special financial assistance provided directly or indirectly by the Bank or the
Government to the transferor.
Where the vesting under this Subdivision is to be in a bridge institution, the independent valuer referred to in subsection (4) shall be appointed by the Minister.
Where any person aggrieved by the transacted price appeals on the transacted price to the Assessor Committee, section 221 shall apply.
Islamic Financial Services 177
Terms defined in s 2
agreement
Defined · s 2“agreement” means an agreement whether formal or informal, oral or written, express or implied;
Part XV
Other Powers of Bank
Part XVI
Enforcement and Penalties
Part XVII
General Provisions
Part XVIII