Malaysia legislation
Section 50
Section 50
Section 54 of the principal Act is amended—
(a)
in subsection (1)—
(i)
by substituting for the word “otherwise” the words
“if the Bank is of the opinion”;
(ii)
by deleting the word “or” at the end of paragraph (b);
(iii)
by substituting for paragraph (c) the following paragraph:
“(c) has breached or contravened any provision of this Act, the Central Bank of
Malaysia Act 2009 or any written law, other than securities laws as defined in the
Securities Commission Act 1993 [Act 498], regardless that there has been no prosecution or other action in respect of the breach or contravention;”; and
(iv)
by inserting after paragraph (c) the following paragraphs:
“(d) has failed to comply with any standards, notice, condition, specification, requirement, restriction or direction specified, issued or made under this Act, regardless that there has been no prosecution or other action in respect of such non-compliance;
(e)
is conducting an activity which is inconsistent with its constituent documents or with any specification made under subsection 28(1);
(f)
is committing or is about to commit an act, or is pursuing or is about to pursue any course of conduct, that is unsafe or unsound or has failed to commit an act or pursue a course of conduct that is necessary to maintain the safety and soundness of the prescribed institution;
(g)
has failed to manage its business or affairs in a manner that is consistent with sound risk management and good governance practices; or
(h)
that has obtained an approval to carry on its business or activity in accordance with
Shariah under—
(i)
paragraph 33b(1)(a), is carrying on or is about to carry on any part of its business, affairs or activities in a manner which is contrary to
Shariah; or
(ii)
paragraph 33b(1)(b), is carrying on or is about to carry on any part of its Islamic financial business in a manner which is contrary to
Shariah,”; and
(b)
by substituting for subsection (3) the following subsection:
“(3) Any prescribed institution that fails to comply with any requirement under paragraph (2)(a) or contravenes any prohibition under paragraph (2)(b), commits an offence and shall on conviction be liable to imprisonment for a term not exceeding ten years or to a fine not exceeding fifty million ringgit or to both.”.
Deletion of section 56