Malaysia legislation
Section 7
Section 7
Substitution of section 381
The Ordinance is amended by substituting for section 381 the following section:
“Removal of wreck.
Quoted provision
Section 381
(2)
Notwithstanding subsection (1), the owner shall furnish financial security in such amount as determined by the receiver for the purpose of ensuring the performance of all actions which the owner undertakes in pursuance of subsection (1).
(3)
If the owner fails to comply with subsection (1), the receiver may—
(a)
locate and mark the wreck;
(b)
take possession of, and raise, remove or destroy, the whole or any part of the wreck;
(c)
sell, in such manner as he thinks fit, the whole or any part of the wreck so raised or removed and also any other property recovered in the exercise of his powers under this section, and out of the proceeds of the sale—
(i)
reimburse himself for the expenses incurred by him in relation thereto under this section; and
(ii)
shall hold the surplus, if any, of the proceeds in trust for the persons entitled thereto; or
(d)
take reasonable measures to prevent pollution from the wreck.
(4)
Apart from the proceeds of any sale carried out by the receiver pursuant to subsection (3), the receiver may also resort to the financial security furnished under subsection (2) to reimburse himself, and if the proceeds of the sale together with any security are insufficient to cover the costs incurred by the receiver when acting under subsection (3), he may recover the difference from the owner of the ship concerned.
(5)
Any person who contravenes subsection (1) or (2)
shall be guilty of an offence and shall be liable on conviction to a fine of not less than five hundred thousand ringgit and not more than one million ringgit.”.
New section 381a