Malaysia legislation
Section 45
Section 45
The principal Act is amended by inserting after Part VIa the following part:
“Part VIb
SUPPRESSION OF RESTRICTED ACTIVITY FINANCING
OFFENCES
Offence of financing of restricted activity 66h. Any person who, directly or indirectly, provides or makes available financial services or property—
(a)
intending that the financial services or property be used, or knowing or having reasonable grounds to believe that the financial services or property will be used, in whole or in part, for the purpose of committing or facilitating the commission of a restricted activity, or for the purpose of benefiting any person who is committing or facilitating the commission of a restricted activity; or
(b)
knowing or having reasonable grounds to believe that, in whole or in part, the financial services or property will be used by or will benefit any proliferator, commits an offence and shall, on conviction, be punished with imprisonment for a term not exceeding fifteen years and a fine of not less than five times the sum or value of the proceeds of proliferator property at the time the offence was committed or five million ringgit, whichever is the higher.
Directions, etc., to discharge Government’s international obligations 66i. (1) For the purposes of this Part, the competent authority or the relevant regulatory or supervisory authority, as the case may be, may issue any directions, instruction, guideline, circular, standard, notice, specification or requirement to,
Anti-Money Laundering, Anti-Terrorism
Financing and Proceeds of Unlawful
Activities (Amendment)
35
or impose any condition on, the institution under its regulation or supervision, or the director, officer or employee of the institution as the competent authority or the regulatory or supervisory authority considers necessary in order to discharge or facilitate the discharge of any obligation binding on
Malaysia by virtue of a decision of the Security Council of the United Nations for the prevention of the restricted activity financing offence.
(2)
An institution, or the director, officer or employee of the institution to which a directions, instruction, guideline, circular, standard, notice, specification or requirement is issued, or a condition is imposed under subsection (1) shall comply with the directions, instruction, guideline, circular, standard, notice, specification, requirement or condition notwithstanding any other duty imposed on the institution, or the director, officer or employee of the institution by any rule of law, written law or contract.
(3)
An institution, or the director, officer or employee of the institution shall not, in carrying out any act in compliance with any directions, instruction, guideline, circular, standard, notice, specification or requirement issued, or any condition imposed under subsection (1), be treated as being in breach of any such rule of law, written law or contract.
(4)
Any institution which, or the director, officer or employee of an institution who—
(a)
fails or refuses to comply with a directions, instruction, guideline, circular, standard, notice, specification or requirement issued, or condition imposed; or
(b)
contravenes any directions, instruction, guideline, circular, standard, notice, specification or requirement issued, or condition imposed, commits an offence and shall, on conviction, be liable to a fine not exceeding one million ringgit.
Examination of compliance with Part VIb 66j. (1) The competent authority or the regulatory or supervisory authority, as the case may be, may examine, supervise, regulate and verify, through regular examination, any institution under its regulation or supervision to ensure the institution comply with this Part.
(2)
For the purposes of subsection (1), the competent authority or the regulatory or supervisory authority may authorize an examiner to—
(a)
examine any record or report of the institution in relation to its obligations under this Part, which are kept at, or accessible from, the premises of the institution;
(b)
examine any system used by the institution at its premises for keeping the record or report;
(c)
ask any question in relation to any record, system or report of the institution; and
(d)
make any note or take any copy of the whole or part of any business transaction or activity of the institution.
(3)
In exercising the powers under subsection (2), the examiner may examine—
(a)
a person who is, or was at any time, a director, an officer or an agent of the institution;
(b)
a person who is, or was at any time, a customer or otherwise having dealings with the institution; or
(c)
a person whom he believes to be acquainted with the facts and circumstances of the case, including an auditor or an advocate and solicitor of the institution.
Anti-Money Laundering, Anti-Terrorism
Financing and Proceeds of Unlawful
Activities (Amendment)
(4)
Any person examined under this section shall—
(a)
give any document or information to the examiner within such time as the examiner may specify; or
(b)
appear before the examiner at his office upon being called to do so at such time as the examiner may specify.
(5)
Any person who contravenes subsection (4) commits an offence and shall, on conviction, be liable to a fine not exceeding three million ringgit or to imprisonment for a term not exceeding five years or to both, and, in the case of a continuing offence, shall in addition be liable to a fine not exceeding three thousand ringgit for each day or part thereof during which the offence continues to be committed.
(6)
Notwithstanding any other written law, an agent, including an auditor or an advocate and solicitor of an institution, shall not be liable for breach of a contract relating to, or a duty of, confidentiality for giving any document or information to the examiner.”.
Amendment of section 76