Malaysia legislation
Section 39
Section 39
(2)
For the purposes of subsection (1), a general notice in writing served on each of the directors of the Bank referred to in that subsection by a director to the effect that he is a director, officer or member of the body corporate or unincorporate, or a director or officer of the sole proprietorship, to which the credit facility is proposed to be given shall be deemed to be sufficient declaration of interest in relation to such proposed credit facility if the provisions of subsection (3) are also complied with.
(3)
A notice under subsection (2) shall—
(a)
specify the nature and extent of the director’s interest in the body or sole proprietorship referred to in that subsection;
and
(b)
be brought up and read at the meeting of the directors of the Bank at which it is served or, if it is not served at a meeting of directors, at the next meeting of directors after it has been served on each of the directors.
(4)
Every director of the Bank who holds any office, or possesses any property, whereby, directly or indirectly, duties or interests might be created in conflict with his duties or interests as a director of the Bank, shall declare at a meeting of the directors of the Bank the fact of his holding such office or possessing such property and the nature, character and extent of the conflict.
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Bank Simpanan Nasional Berhad
(5)
The declaration referred to in subsection (4) shall be made at the first meeting of the directors held—
(a)
after he becomes a director of the Bank; or
(b)
if already a director, after he commences to hold such office or to possess such property, as the case may be.
(6)
The secretary of the Bank or the other officer referred to in subsection (1) shall record any declaration made under this section in the minutes of the meeting at which it was made or at which it was brought up and read.
(7)
Any director who fails to comply with subsection (1) or (4)
shall be guilty of an offence and shall on conviction be liable to a fine not exceeding three million ringgit or to imprisonment for a term not exceeding three years or to both and, in the case of a continuing offence, to a further fine not exceeding three thousand ringgit for each day during which the offence continues after conviction.
(8)
Any director who fails to comply with subsection (3) or (5), shall be guilty of an offence and shall on conviction be liable to a fine not exceeding three million ringgit or to imprisonment for a term not exceeding three years or to both.
(9)
Any person who fails to comply with subsection (6) shall be guilty of an offence and shall on conviction be liable to a fine not exceeding one million ringgit or to imprisonment for a term not exceeding one year or to both.
Control of credit limit