Section 15 — INTEREST SCHEMES ACT 2016

(a)

any law of a foreign country; or

(b)

any regulatory or supervisory action taken by an authority or body in a foreign country, a company offering a scheme is suspended, disqualified or restricted from administering a scheme in that country, the Minister may by notice served on a person connected with that country who is administering or intends to administer a scheme in Malaysia, suspend, disqualify or restrict the business of such person in a similar manner.

(2)

The notice under subsection (1) may not be served unless—

(a)

it is in the national interest; or

(b)

the Minister has consulted the person concerned or, if expedient, a body representing the interest of the person to be affected.

(3)

The notice shall—

(a)

state the grounds on which it is given;

(b)

identify the country to which the person is connected;

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(c)

specify the date on which such notice comes into force;

and

(d)

provide for a reasonable period to complete the performance of transactions entered into before the date on which the notice comes into force or for the termination of contracts of a continuing nature.

(4)

The notice under subsection (1) may provide for the suspension, disqualification, restriction wholly or partly the administration of a scheme by a person and may provide for—

(a)

the withdrawal of the registration or approval of a scheme in Malaysia;

(b)

the disqualification of a person to register a scheme under this Act; or

(c)

the restriction, wholly or partly, of a person in respect of the administration of a scheme.

(5)

A notice which partly restricts the administration of a scheme may prohibit a person from—

(a)

entering into transactions of a specified kind or entering into transactions in specified circumstances or to a specified extent;

(b)

soliciting investments of a specified kind or from a specified person; or

(c)

administering a scheme in a specified manner.

(6)

For the purposes of this section, a person is connected with a foreign country, if—

(a)

in the case of an individual, he is a national of or resident—

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(i)

in that country and administers a scheme from a principal place of business in that country or

Malaysia; or

(ii)

in Malaysia and administers a scheme from a principal place of business in that country; or

(b)

in the case of a body corporate, it is incorporated or has a principal place of business—

(i)

in that country or is controlled by a person connected with that country or Malaysia; or

(ii)

in Malaysia or is controlled by a person connected with that country.

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