Labuan Islamic Financial Services and Securities Act 2010 · Updated to 15 Oct 2022 · Chapter 2
25. Trustee for Sukuk holders
Feedback & supportEvery Labuan company which offers Sukuk pursuant to subsection 13(1) shall make provision in such Sukuk, or in a trust deed relating to such Sukuk, for the appointment of a Labuan trust company as a trustee for Sukuk holders.
Labuan company
“Labuan company” has the meaning assigned to it in the Labuan Companies Act 1990;
A borrowing company shall not allot any Sukuk until such time as a Labuan trust company has been appointed as a trustee for Sukuk holders.
borrowing company
“borrowing company” means a Labuan company that is or will be under a liability, whether or not such liability is present or future, to pay or repay any money received or to be received by it in response to an offer made pursuant to this Chapter to subscribe for or purchase Sukuk of the company;
The Authority may approve any other person to act as a trustee together with the Labuan trust company for Sukuk holders.
A borrowing company and every officer of the borrowing company who contravenes this section commits an offence and shall, on conviction, be liable to a fine not exceeding one million ringgit or to imprisonment for a term not exceeding three years or to both.