Incorporation of Lembaga
(1) A body corporate which shall be known as the Lembaga Kemajuan Ikan Malaysia (hereinafter referred to as “the Lembaga”) is established, with perpetual succession and a common seal and may sue or be sued in its name, and, subject to and for the purposes of this Act may enter into contract and shall have power to acquire and hold movable or immovable property and to dispose thereof or otherwise deal therewith.
(2) The First Schedule to this Act shall have effect with respect to the Lembaga.
(3) The Lembaga shall consist of the following members to be appointed by the Minister:
(a) a Chairman;
(b) a Director General;
(c) a representative of the Ministry of Agriculture and Agro- Based Industry;
(d) a representative of the Treasury;
(e) a representative of the Fisheries Department in the Ministry of Agriculture and Agro-Based Industry;
(f) a representative of the Economic Planning Unit of the Prime Minister’s Department;
(g) a representative of the Federal Agricultural Marketing Authority; and
(h) not more than 5 other persons who have had experience and have shown capacity in matters relating to the fisheries industry or to marketing, finance or administration.
(4) The Minister shall when appointing the persons mentioned in paragraph (3)(h) give consideration to the need for the various interests and regions in Malaysia to be represented.
(5) A temporary Chairman or member may be appointed during the temporary incapacity of the Chairman or member (whether by reason of illness or absence from Malaysia or for any other reason), and such temporary Chairman or member shall be appointed in like manner as the Chairman or member is appointed under this section.
(6) A member of the Lembaga shall, unless he sooner resigns or his appointment is revoked, hold office for such term as may be specified in the instrument appointing him, and shall be eligible for reappointment.
(7) The Minister may give to the Lembaga directions of a general nature, not inconsistent with the provisions of this Act, as to the exercise of the functions and powers of the Lembaga.
Functions of the Lembaga
(1) The functions of the Lembaga shall be—
(a) to promote and develop efficient and effective management of fisheries enterprises and marketing of fish;
(b) to provide and supervise credit facilities for fish production and to ensure that these facilities are put to maximum use;
(c) to engage in fisheries enterprises and for that purpose to engage in boat-building and in the production of fishing supplies and equipment;
(d) to promote, stimulate, facilitate, and undertake economic and social developments of Fishermen’s Associations;
(e) to register, control and supervise Fishermen’s Associations and to provide for matters related thereto; and
(f) to control and coordinate the performance of the aforesaid activities.
(2) The Lembaga shall have power to do all things reasonably necessary for or incidental to the discharge of its functions under subsection (1) and in particular, but without prejudice to the generality of the foregoing—
(a) to regulate the marketing of fish particularly through licensing of wholesalers, retailers, fish processors, importers and exporters;
(b) to prescribe and regulate the packing, grading, weighing and storing of fish;
(c) to establish, regulate and, if necessary, manage in respect of any area, a wholesale fish market at which all wholesale fish transactions in that area shall be carried out in accordance with the procedure determined by the Lembaga;
(d) to prescribe the method of, regulate the conduct of, admission and procedure to be followed at, the sale conducted at a wholesale fish market, and where an auction sale is held thereat, to prescribe the manner in which such sale may be conducted;
(e) to regulate the processing of fish;
(f) to prohibit, regulate or control the movement of fish;
(g) to require persons engaged in the processing or marketing of fish to register and to give in such manner as the Lembaga may specify such information as it may deem necessary;
(h) to appoint agents for the purpose of carrying out its functions;
(i) to impose fees or any other charges it deems fit for giving effect to any of its powers or functions;
(j) to receive in consideration of the services rendered by it such commission or payment as may be agreed upon;
(k) with the approval of the Minister and the concurrence of the Minister of Finance, to enter into equity participation where such participation appears to it to be requisite, advantageous or convenient for or in connection with the discharge of its functions;
(l) to carry out all the activities which appear to it to be requisite, advantageous or convenient for or in connection with the discharge of its functions, including boat-building and fishing operations, the production of fishing supplies and equipment, transport, packing, processing, the sale of fishing supplies, equipment and provisions, grading, storing, the sale by auction and other marketing methods generally of fish, and to manage such activities;
(m) to exercise all functions and powers and perform all duties which under or by virtue of any other written law may be vested or delegated to it.
(2a) Notwithstanding paragraph (2)(a), the licence for importers and exporters of fish shall be issued by the Director General of Quarantine and Inspection and in accordance with the Malaysian Quarantine and Inspection Services Act 2011 [Act 728].
(3) The Lembaga may, with the approval of the Minister and the concurrence of the Minister of Finance, from time to time—
(a) establish corporations under this subsection; and
(b) establish or promote the establishment or expansion of companies under the Companies Act 1965 [Act 125], by such names as the Lembaga may think fit, to carry out and have the charge, conduct and management or any project, scheme or enterprise planned or undertaken by the Lembaga in the discharge of its functions and where the Lembaga so does, the provisions of—
(i) the Second Schedule except paragraph 4a; and
(ii) the Companies Act 1965, shall apply respectively to such corporations and companies.
(4) In addition to and not in derogation of its powers under subsection (3) the Lembaga may, with the approval of the Minister and the concurrence of the Minister of Finance, apply to register as a company under the Companies Act 1965 a corporation which has been established under paragraph (3)(a) and where the Lembaga so does—
(a) subparagraphs 4a(1) and (2) only of the Second Schedule; and
(b) on the corporation being so registered, subparagraphs 4a(3) and (4) only of the Second Schedule and the Companies Act 1965,
shall accordingly apply to that corporation.
Officers and servants of the Lembaga
(1) The Director General of the Lembaga shall be responsible for the day to day administration and management of the affairs of the Lembaga and to exercise such duties and powers as may be entrusted or delegated by the Lembaga or the Chairman acting on behalf of the Lembaga.
(2) The Lembaga may appoint such officers and servants as it may consider necessary for the efficient conduct of the affairs of the Lembaga.
(3) The officers and servants of the Lembaga shall hold office for such period, receive such salaries and allowances and be subject to such conditions of service as may be determined by the Lembaga with the approval of the Minister.
(4) The Director General shall have the powers of an authorized officer under this Act.
The Fund
(1) For the purposes of this Act a fund (hereinafter referred to as the “Fund”) is established to be administered and controlled by the Lembaga—
(a) into which shall be paid—
(i) such sums as may be provided from time to time by Parliament;
(ii) moneys earned by the Lembaga in the discharge of its functions under or pursuant to the provisions of this Act;
(iii) moneys earned or arising from any developments, investment, mortgages, charges or debentures acquired by or vested in the Lembaga;
(iv) sums borrowed by the Lembaga for the purpose of meeting any of its obligations or discharging any of its functions;
(v) all other sums or properties whether movable or immovable which may in any manner become payable to or vested in the Lembaga;
(b) out of which shall be defrayed—
(i) all expenditure (including capital expenditure) incurred by the Lembaga in carrying out its functions and powers; and
(ii) moneys for the repayment of any loan made to the Lembaga pursuant to its powers to borrow.
(1a) Subparagraph (1)(a)(v) shall not apply where any corporation which has been established under paragraph 4(3)(a) is registered as a company pursuant to subsection 4(4).
(2) Before the beginning of June of each year the Lembaga shall submit to the Minister an estimate of the expenses (including those for development projects) for the following year in such form and with such particulars as the Minister may require; and the Minister shall before the beginning of November of that year notify the Lembaga of the amount authorized for expenses generally or of the amounts authorized for each description of expenditure.
(3) The Lembaga may at any time submit to the Minister a supplementary estimate for any one year and the Minister may allow the whole or any part of the additional expenditure included in the supplementary estimate.
Borrowing
The Lembaga may upon the terms and conditions approved by the Minister of Finance borrow such sums as it may require for carrying out any of its functions.
Investment
The assets of the Fund shall, in so far as they are not required to be expended by the Lembaga under this Act, be invested in such manner as the Minister of Finance may approve.
Accounts and Audit
(1) The Lembaga shall keep proper accounts and other records in respect of its operation and shall prepare statement of accounts in respect of each financial year.
(2) The accounts of the Lembaga shall be audited by the Auditor General or other auditors appointed by the Lembaga with the approval of the Minister.
(3) After the end of each financial year, and as soon as the accounts of the Lembaga have been audited, the Lembaga shall cause a copy of the statement of accounts in such manner as the Minister may require to be transmitted to the Minister, together with a copy of any observations made by the Auditor General or other auditors appointed under subsection (2) on any statement or on the accounts of the Lembaga.
(4) The Minister shall cause a copy of every such statement and observations to be laid before each House of Parliament.
Annual Report
The Lembaga shall not later than the 30th day of June of each year, cause to be made and transmitted to the Minister a report dealing with the activities of the Lembaga during the preceding year and containing information relating to the proceedings and policy of the Lembaga as the Minister may from time to time require.
No person having interest to be appointed as member or employed as officer or servant of the Lembaga
(1) Subject to subsection (2), no person shall be appointed as a member or be employed as an officer or a servant of the Lembaga if he has any interest, directly or indirectly, in—
(a) an enterprise in which the Lembaga has entered or proposes to enter into equity participation pursuant to paragraph 4(2)(k);
(b) a corporation or company established, promoted, expanded or registered pursuant to subsections 4(3) and 4(4); or
(c) a company or an undertaking with which the Lembaga or an enterprise, a corporation or company mentioned in paragraph (a) or (b) proposes to make a contract or has made a subsisting contract.
(2) Notwithstanding subsection (1) and subject to subsection
(3), such person may be appointed as a member of the Lembaga under paragraph 3(3)(h) but in so appointing him the Minister may impose any conditions or restrictions the Minister may deem fit.
(3) Prior to his being appointed as a member or being employed as an officer or a servant of the Lembaga, every person shall disclose fully—
(a) to the Minister in the case of a person to be appointed as a member; and
(b) to the Lembaga in the case of a person to be employed as an officer or a servant,
any such interest as is mentioned in subsection (1), and on his being so appointed or employed, such person shall not further acquire any such interest.
(4) Subject to subsection 10b(1), a member who is appointed or an officer or a servant who is employed contrary to subsection (1), or who on being appointed or employed further acquires any such interest, shall have his appointment revoked forthwith by the Minister or his employment terminated by the Lembaga without notice, as the case may be.
(5) Any person, member, officer or servant who contravenes this section, section 10b or a condition or restriction imposed under this section or section 10b commits an offence and shall be liable on conviction to imprisonment for a term not exceeding five years or to a fine not exceeding twenty-five thousand ringgit or to both.
(6) For the purposes of this section and section 10 b , the having or acquiring of any such interest as is mentioned in subsection (1) by his spouse or any of his children shall be deemed to give the person, member, officer or servant concerned an indirect interest.
Disclosure of existing interest
(1) Every member, officer or servant having any interest as is mentioned in subsection 10a(1) shall, within six months of the coming into force of this section, disclose fully to the Lembaga the fact of the interest and the nature hereof and such disclosure shall be recorded in the minutes of the Lembaga and the member shall at no time take part in any proceedings of the Lembaga relating to the undertaking, enterprise, company, corporation or contract in which he has the interest and the officer or servant shall cease to exercise all powers and duties in relation thereto, but the member, officer or servant may otherwise continue to be—
(a) a member subject to any conditions or restrictions the Minister may impose; or
(b) an officer or a servant subject to any conditions or restrictions the Lembaga may impose.
(2) Where the member having such interest is the Chairman, he shall vacate the chair and another member shall be elected to preside during the proceedings relating to the undertaking, enterprise, company, corporation or contract in which he has the interest.
(3) Any member, officer or servant who contravenes this section commits an offence and shall be liable on conviction to the punishment provided in subsection 10a(5).
Surcharge
(1) If it appears to the Lembaga that any person who is or was in the employment of the Lembaga—
(a) has failed to collect any moneys owing to the Lembaga for the collection of which he is responsible;
(b) is or was responsible for any payment from the Fund of moneys which ought not to have been made or for any payment of moneys which is not duly vouched;
(c) is or was responsible, directly or indirectly, for any deficiency in, or for the destruction of, any moneys, stamps, securities, stores or other property of the Lembaga;
(d) being or having been an accounting officer, fails or has failed to keep proper accounts or records;
(e) has failed to make any payment, or is or was responsible for any delay in the payment, of moneys from the Fund to any person to whom such payment is due under any contract, agreement or arrangement entered into between that person and the Lembaga,
the Lembaga shall serve on him a written notice calling on him to show cause why he should not be surcharged, and if a satisfactory explanation is not, within fourteen days from the date of service of the notice as aforesaid, furnished to the Lembaga with regard to the failure to collect, payment which ought not to have been made, payment not duly vouched, deficiency or destruction, or failure to keep proper accounts or records, or failure to make payment, or delay in making payment, the Lembaga may surcharge against the said person a sum not exceeding the amount of any such amount not collected, such payment, deficiency, or loss or the value of the property destroyed, as the case may be; and with regard to the failure to keep proper accounts or records, or the failure to make payment, or the delay in making payment, the Lembaga may surcharge against the said person such sum as the Lembaga may think fit.
(2) The Chairman shall cause the Director General to be notified of any surcharge made under subsection (1) and the Director General shall thereupon notify the person surcharged.
(3) The Lembaga may at any time withdraw any surcharge in respect of which a satisfactory explanation has been received or if it otherwise appears that no surcharge should have been made, and the Chairman shall at once cause the Director General to be notified of such withdrawal.
(4) The amount of any surcharge made under subsection (1) and not withdrawn under subsection (3) shall be a debt due to the Lembaga from the person against whom the surcharge is made and may be sued for and recovered in any court at the suit of the Lembaga and may also be recovered by deduction—
(a) from the salary of the person surcharged if the Lembaga so directs; or
(b) from the pension of the person surcharged if the Lembaga so directs,
by equal monthly instalments not exceeding one-fourth of the total monthly salary or pension, as the case may be, of the person.
Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).
