Section 36H
Injunctions or other relief
of Labuan Financial Services Authority Act 1996
(2)
Without prejudice to subsection (1), an order under that subsection may direct the person to do any specified act or refrain from doing any specified act, for the purposes of—
(a)
preventing or desisting any contravention of the provisions of this Act or the laws specified in the
Schedule;
(b)
compelling any person to comply with any directions issued under section 4B;
(c)
remedying the effects of any contravention of the provisions of this Act or the laws specified in the
Schedule;
(d)
preservation of assets; or
Labuan Financial Services Authority 59
(e)
compensating persons who have suffered loss as a result of a contravention.
(3)
Where the Authority makes an application to the court for the grant of an injunction or an order under this section, the court may, if it deems just and equitable to do so, not require the Authority, as a condition of granting the injunction or order, to give any undertaking as to damages.
(4)
Any person who contravenes an injunction or an order granted by the court under this section that is applicable to him shall be guilty of an offence and shall be liable on conviction to a fine not exceeding five hundred thousand ringgit or to imprisonment for a term not exceeding two years or both.
(5)
Where the court has granted an injunction or an order under this section, the court may, on application by any person affected by the injunction or order, rescind or vary the injunction or order.
(6)
Subsection (4) shall not affect the powers of the court in relation to the punishment for contempt of court.
(7)
Pending an injunction or an order by the court under this section, the Authority may, where it has reasonable grounds to believe that a Labuan financial institution—
(a)
would not be able to maintain the status quo of the property in or under its possession or control;
(b)
would abscond with the property or do any act to such effect;
(c)
would move the property to any place, location or jurisdiction to frustrate any impending proceeding or its judgment thereof; or
(d)
would manage the property in the manner detrimental to any interested party including its investors, beneficiary and the Authority,
60 Laws of Malaysia ACT 545
issue an order freezing any property of that person, as the case may be, wherever the property may be, or in his possession, under his control or due from any source to him.
(8)
An order under subsection (7) may include—
(a)
an order to direct that the property, or such part of the property as is specified in the order, is not to be disposed of, or otherwise dealt with, by any person, except in such manner and in such circumstances, if any, as are specified in the order; and
(b)
an order to authorize any of its officers to take custody and control of the property, or such part of the property as is specified in the order if the Authority is satisfied that the circumstances so require.
(9)
An order made under subsection (7) shall cease to have effect after thirty days from the date of the order.
(10)
Nothing in this section shall limit the powers of the court, upon the application of any person aggrieved by the order issued under subsection (7), to set aside the order issued under subsection (7).
(11)
At the expiry of the order issued under subsection (7), the
Authority may apply to the court to extend the validity of the order to such duration as the court deems fit.
(12)
The Authority shall not be liable for any damages or cost arising directly or indirectly from the making of an order under this section unless it can be proved that the order under subsection (7)
was not made in good faith.