Labuan Islamic Financial Services and Securities Act 2010 · Updated to 15 Oct 2022 · Part I · Preliminary
4. Fit and proper person
Feedback & supportEvery licensed entity shall ensure that its directors, principal officers or trust officers, where applicable, remain as fit and proper persons throughout their appointment with the licensed entity.
If a director, principal officer or trust officer, where applicable, ceases to be a fit and proper person, the licensed entity and such director, principal officer or trust officer shall as soon as reasonably practicable notify the Authority in writing of the same, together with details of the change.
director
“director”, in relation to a person specified in the first column of the First Schedule, has the meaning set out in the second column of the First Schedule as against such person;
In determining whether a person is a fit and proper person under this Act, the Authority may take into consideration the following:
integrity, competence, soundness of judgment and financial standing of such person;
whether that person has been adjudged a bankrupt, in
Malaysia or elsewhere;
whether that person has been convicted of a criminal offence in Malaysia or elsewhere and where the penalty imposed is imprisonment of one year or more, whether by itself or in addition to a fine; and
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such other criteria as may be specified in guidelines issued by the Authority.
A person shall be under a duty to give notice in writing to the Authority, as soon as practicable, of any material event that could reasonably be expected to affect his status as a fit and proper person.
Where the Authority is satisfied that any person is not fit and proper, the Authority may disqualify such person from acting in his capacity of a licensed entity.