In forceUpdated to 11 Apr 1991Read it in Bahasa Malaysia

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Securities Industry (Central Depositories) Act 1991 · Updated to 11 Apr 1991 · Part III · Provisions Relating to Deposited Securities

35. A depositor to be treated as if he were a member

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(1)

Notwithstanding the provisions of the Companies Act 1965, a depositor of any deposited security whose name appears in the record of depositors shall be entitled to all rights, benefits, powers and privileges and be subject to all liabilities, duties and obligations in respect of, or arising from, such security (whether conferred or imposed by the Companies Act 1965, or the memorandum or articles of association of the issuer of such security, or otherwise) as if he were—

(a)

a member registered in the register of members;

(b)

a holder registered in the register of debenture holders maintained by the issuer;

(c)

a holder registered—

(i)

in the register of interest holders maintained by a management company under the Companies Act 1965; or

(ii)

in the register of unit holders maintained by a management company under section 117 of the

Securities Commission Act 1993; or

(d)

a person included in any other register maintained by the issuer in respect of or arising from any other securities issued by the issuer, instead of the central depository, or its nominee company, in whose name the deposited security is registered.

(2)

Notwithstanding subsection (1), nothing in this section shall be construed so as to deem a record of depositors to be—

(a)

a register of members maintained under section 158 of the Companies Act 1965;

Securities Industry (Central Depositories) 49

(b)

a register of debenture holders maintained under section 70

of the Companies Act 1965;

(c)

a register of interest holders maintained under section 92

of the Companies Act 1965;

(d)

a register of unit holders maintained under section 117

of the Securities Commission Act 1993; or

(e)

any other register maintained by an issuer in respect of or arising from any other securities issued by the issuer.

(3)

Notwithstanding subsection (1), an authorized depository agent shall have a lien over unpaid deposited securities purchased for the account of a depositor including all such entitlements to all rights, benefits, powers and privileges and be subject to all such liabilities, duties and obligations that are referred to thereunder, and shall deal with such unpaid deposited securities in accordance with the rules of the stock exchange.

(4)

For the purposes of this section, ―deposited security‖ does not include a security specified in the securities account as being in suspense pursuant to section 41 or any regulations made thereunder.

Prohibition against acquisition of, or dealings in, deposited securities by a central depository

Terms defined in this Act

Act
Defined · s 2
―Act‖ includes any regulations made under this Act;
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authorized depository agent
Defined · s 2
―authorized depository agent‖, in relation to any central depository, means a person appointed under section 13 to be an agent of that central depository;
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central depository
Defined · s 2
―central depository‖ means a company approved by the Minister under section 5— Securities Industry (Central Depositories) 11 (a) to establish and operate a system for the central handling of securities, whether or not listed on any stock exchange,— (i) whereby all such securities are deposited with and held in custody by, or registered in the name of, the company or its nominee company for the depositors and dealings in respect of those securities are effected by means of entries in securities accounts without the physical delivery of scrips; or (ii) which permits or facilitates the settlement of securities transactions or dealings in securities without the physical delivery of scrips; and (b) to provide other facilities and services incidental thereto;
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Commission
Defined · s 2
―Commission‖ means the Securities Commission established under the Securities Commission Act 1993;
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deposited security
Defined · s 2
―deposited security‖ means a security standing to the credit of a securities account and includes a security in a securities account that is in suspense;
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depositor
Defined · s 2
―depositor‖ means a holder of a securities account;
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issuer
Defined · s 2
―issuer‖, in relation to any deposited security, means the public company, corporation, government, or the body, corporate or unincorporate, which issued the security, and includes any person performing the functions of a registrar or an issuing house for such issuer in respect of such security;
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nominee company
Defined · s 2
―nominee company‖, in relation to a central depository, means a company appointed by the central depository for the purpose of holding any deposited security;
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record of depositors
Defined · s 11
―record of depositors‖ means a record provided by a central depository to an issuer under section 34 which contains the particulars specified in subsection (3) of the said section. Duties of a central depository
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rules
Defined · s 2
―rules‖, in relation to— (a) a central depository, means the rules of a central depository, and includes— (i) rules contained in the memorandum and articles of association or other constituent document of the central depository; (ii) rules to ensure compliance by its authorized depository agents, users or depositors of any obligations imposed by this Act or any other written law; (iii) rules in relation to the provision of services for the deposit, holding, transfer and withdrawal of securities, and the suspension or withdrawal of such services; (iv) rules to provide for the persons who may participate in one or more of the services referred to in subparagraph (iii); and (v) rules in respect of such other matters as are necessary or desirable for the proper and efficient operation and management of the central depository, including rules setting fees and charges; and Securities Industry (Central Depositories) 15 (b) an exchange holding company, means the memorandum and articles of association, including rules regulating the activities and conduct of the company in its capacity as an exchange holding company;
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securities account
Defined · s 2
―securities account‖ means an account established by a central depository for a depositor for the recording of deposit of securities and for dealings in such securities by the depositor;
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security
Defined · s 2
―security‖ means debenture, note, stock and share in a public company or corporation, or bond of any government or of any body, corporate or unincorporate, and includes any right or option in respect thereof, any interest as defined in section 84 of the Companies Act 1965 and any interest in a unit trust scheme;
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stock exchange
Defined · s 2
―stock exchange‖ has the same meaning as is assigned to that expression under subsection 2(1) of the *Securities Industry Act 1983; *NOTE—This Act has since been repealed by Capital Market and Services Act 2007 which comes into operation on 28 September 2007 except Division 2 of Part VI which comes into operation on 1 April 2010–see subsection 381(2)…
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Report

Read on from s 36

Part IV

Secrecy Provisions

Read on from Part IV

Part V

Offences

Read on from Part V

Part VI

Enforcement

Read on from Part VI

Part VII

General

Read on from Part VII