Section 24
of Labuan Islamic Financial Services and Securities Act 2010
Section 24
Subject to this Chapter and to the terms and conditions of its memorandum and articles, a Labuan company shall have the power to issue Sukuk on such terms and conditions as it thinks
Labuan Islamic Financial Services and Securities 45
fit and in particular, but without limiting the generality of the foregoing, may issue the following:
(a)
a Sukuk constituting a charge on any or all of the assets of the company;
(b)
a Sukuk which may be converted into shares in the company; or
(c)
a secured Sukuk.
(2)
The amounts payable under any Sukuk, whether sealed or signed on behalf of the company, shall be a specialty debt of the company, and where the Sukuk is issued by a branch of a company, it shall be located at that branch.
(3)
The Minister may make regulations—
(a)
restricting the right of a Labuan company or any particular class of Labuan companies to issue Sukuk which may be converted into shares;
(b)
prescribing the terms and conditions or the event or events upon which conversion shall or may take place.