Malaysia legislation

Section 9

of BANK SIMPANAN NASIONAL BERHAD ACT 1997

Section 9

(a)

promoting and mobilizing savings from the general public, particularly small savers, and fostering sound financial management of their resources so as to improve and advance their economic well-being;

(b)

providing the means, facilities and infrastructure for achieving the objectives of the Bank and encouraging their effective utilization by customers for their benefit;

and

(c)

carrying on the general business of a modern and progressive financial services institution catering for the total financial needs of its customers.

(2)

For the purposes of carrying out the objects set out in subsection (1), the Bank may—

(a)

provide all types of deposit accounts including savings account, time deposit account and other similar accounts;

(b)

receive and repay deposits from its customers;

(c)

operate schemes for the issue and promotion of premium savings certificates and, notwithstanding any other written law to the contrary, hold, promote, organize and administer draws in respect of such premium savings certificates;

(d)

grant all types of advances, loans and credit facilities to its customers;

(e)

provide unit trust schemes;

(f)

issue, purchase, sell and redeem securities, in its own name or on behalf of the Government; and the issue, holding and sale of such securities shall be subject to such terms and conditions as the Minister may determine at the time of the issue of such securities;

(g)

deal with stocks, funds, shares, debentures, debenture stocks, bonds, obligations, securities and investments of all kinds;

(h)

utilize the funds of the Bank for investments;

(i)

pay interest on deposits by customers and determine the rate or rates of such interest;

(j)

charge interest on loans and advances made to customers and determine the rate or rates of such interest;

(k)

impose charges for any services rendered by it;

(l)

collect cheques drawn by or paid by customers;

(m)

provide all types of payment and collection services, including giro services, automated teller machines, debit cards, credit cards and prepaid cards;

(n)

issue or pay local drafts, travellers cheques and effect transfers of moneys within Malaysia;

(o)

accept from customers for safe custody securities and other articles of value;

Bank Simpanan Nasional Berhad

(p)

give any guarantee for the payment of money or the performance of any obligation or undertaking;

(q)

provide financial services based on Islamic principles;

(r)

maintain accounts with banks and other financial institutions;

(s)

open branches and appoint agents or correspondents within or outside Malaysia;

(t)

act as agents for the Government or any State Government or other authority and for public or private bodies or persons;

(u)

promote the formation of a company or participate in the promotion of a company or acquire an undertaking or part thereof;

(v)

acquire or hold property for or in connection with the exercise of its powers, and develop such property;

(w)

dispose of or lease or otherwise deal with the whole or any part of its undertaking or property;

(x)

subject to the Minister’s approval on the recommendation of the Central Bank—

(i)

provide current account;

(ii)

carry out treasury operations including money market operations and deal in foreign currency;

(iii)

issue or pay foreign drafts, and effect transfers of moneys outside Malaysia;

(iv)

provide investment, advisory and underwriting services to customers;

(v)

provide trade finance facilities;

(vi)

deal in derivative instruments; and

(vii)

carry out insurance business; and

(y)

do such other business as the Minister may prescribe and do all such other things as are incidental or conducive to the attainment of its objects.

Read in full context — BANK SIMPANAN NASIONAL BERHAD ACT 1997 →