Operational Fund
(1) For the purposes of this Act, the Agency shall establish and maintain an Operational Fund.
(2) The Operational Fund shall consist of the following:
(a) moneys received by the Agency in performing its functions under this Act;
(b) such sums as may be provided from time to time for the purposes of this Act by Parliament;
(c) moneys earned by the operation of any project or activities financed from the Fund;
(d) sums borrowed by the Agency for the purposes of meeting any of its obligations or discharging any of its duties; and
(e) all other sums or property which may in any manner become payable to or vested in the Agency in respect of any matter incidental to its functions, powers and duties.
(3) The Operational Fund shall be expended for the following purposes:
(a) the payment of any operational expenses, costs or expenditure properly incurred or accepted by the Agency
in the performance of its functions or the exercise of its powers under this Act;
(b) any purchase made by the Agency;
(c) the payment of remuneration, allowances, benefits, reimbursement and expenses of officers and employees of the Agency and members of the Council or committee;
(d) the repayment of any moneys borrowed under this Act and the interest due thereon;
(e) the payment of contributions and donations for purposes of corporate social responsibility.
(4) Notwithstanding paragraph (2)(c), the moneys referred to in the paragraph which are in excess of the financial requirements of the Agency for the performance of its functions may be paid into the Federal Consolidated Fund.
Innovation Fund
(1) For the purposes of this Act, the Agency shall establish and maintain an Innovation Fund.
(2) The Innovation Fund shall consist of all moneys and property received by the Agency from the Government, any organization, body corporate or institution solely for the purposes of research activities and initiatives relating to innovation, and shall be disbursed for such like purposes, including funding of selected innovation determined by the Agency.
Conservation of Operational Fund and Innovation Fund
It shall be the duty of the Agency to conserve the Operational Fund and the Innovation Fund by so performing, exercising and discharging its functions, powers and duties under this Act so as to secure that the total revenues of the Agency are sufficient to meet all sums properly chargeable to its revenue account, including depreciation and interest on capital, taking one year with another.
Expenditure and preparation of estimate
(1) The expenditure of the Agency up to such amount as may be authorized by the Prime Minister for one year shall be defrayed out of the Operational Fund and Innovation Fund.
(2) Before the end of September of each year, the Agency shall submit to the Prime Minister an estimate of the expenditure, including—
(a) projected budget and expenses for Operational Fund and Innovation Fund;
(b) proposed activities and projects to be carried out; and
(c) the key performance indicators of the proposed activities and projects to be carried out,
by reference to which the development, performance or position of the Agency can be measured effectively.
(3) The Prime Minister shall, before the beginning of the following year, notify the Agency of the amount authorized for expenditure generally or of the amount authorized for each description of expenditure based on the estimates prepared under subsection (2).
(4) The Agency may, at any time, submit to the Prime Minister a supplementary estimate of its expenditure for any one year and the Prime Minister may allow the whole or any part of the additional expenditure included in the supplementary estimate.
(5) The Prime Minister may direct the Agency to submit a copy of the estimate or supplementary estimate, as the case may be, to such other public authority as may be specified in the direction.
Financial year
The financial year of the Agency shall begin on 1 January and end on 31 December of each year.
Accounts and reports
(1) The Agency shall cause to be kept proper accounts of the Operational Fund and the Innovation Fund and reports of its activities and shall, as soon as practicable after the end of each financial year, caused to be prepared for that financial year—
(a) a statement of accounts of the Agency which shall include a balance sheet and an account of income and expenditure; and
(b) a statement of its activities.
(2) The Agency shall as soon as possible send a copy of the statements of accounts and statements of activities mentioned in subsection (1) certified by the Auditor General and a copy of the Auditor General’s report to the Prime Minister who shall cause them to be laid before both Houses of Parliament.
(3) The Statutory Bodies (Account and Annual Reports) Act 1980 [Act 240] shall apply to the Agency.
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).
