Malaysia legislation
Section 21
Section 21
(a)
adopt the necessary measures to prevent or avoid having any person who is unsuitable from controlling, or participating, directly or indirectly, in the directorship, management or operation of the reporting institution;
(b)
examine and supervise reporting institutions, and regulate and verify, through regular examinations, that a reporting institution adopts and implements the compliance programmes in section 19;
(c)
issue guidelines to assist reporting institutions in detecting suspicious patterns of behaviour in their customer and these guidelines shall be developed taking into account modern and secure techniques of money management and will serve as an educational tool for reporting institutions’
personnel; and
*NOTE—Invoked pursuant to section 8 of this Act on institutions carrying on banking business, finance company business, merchant banking business and Islamic banking business which omes into operation on 15 January 2002–see P.U. (A) 20/2002.
42 Laws of Malaysia
(d)
co-operate with other enforcement agencies and lend technical assistance in any investigation, prosecution or proceedings relating to any unlawful activity or offence under this Act.
(2)
The licensing authority of a reporting institution may, upon the recommendation of the competent authority, revoke or suspend the reporting institution’s licence if it has been convicted of an offence under this Act.
(3)
The relevant supervisory authority shall report promptly to the competent authority any information received from any reporting institutions relating to transactions or activities that could be related to any unlawful activity or offence under this Act.
Powers to enforce compliance