s 4 Functions and powers of the Authority
(1) The functions of the Authority shall be— (a) to administer, enforce, carry out and give effect to the provisions of— (i) the Offshore Companies Act 1990; (ii) the Labuan Trust Companies Act 1990; (iii) the Offshore Banking Act 1990; (iv) the Offshore Insurance Act 1990; and (v) any other law relating to offshore financial services in Labuan; (b) to exercise, discharge and perform such powers, duties and functions under the laws referred to in paragraph (a); (c) to ensure that offshore financial transactions are conducted in accordance with laws relating to offshore financial services and in accordance with established norms of good and honourable conduct, and to preserve and maintain the good repute of Labuan as a centre for offshore financial services; (d) to carry out research and commission studies on offshore financial services in Labuan; (e) to make recommendations for the creation and improvement of any facility likely to enhance the attraction of Labuan as a centre for offshore financial services; (f) to co-operate with offshore financial institutions and professional and industry associations in Labuan to promote and provide offshore financial services and to foster high standards of offshore financial services in Labuan; (g) to advise the Minister generally on matters relating to offshore financial services in Labuan. (2) The Authority shall have power to do all things expedient or reasonably necessary for, or incidental to, the performance of its functions and, in particular, but without prejudice to the generality of the foregoing— (a) to appoint such agents as it deems fit for the purpose of performing its functions; (b) to impose fees or any other charges it deems fit for giving effect to any of its functions or powers; (c) to do such other things as it deems fit to enable it to carry out its functions and powers effectively. (3) For the avoidance of doubt it is hereby declared that the Authority shall also have the following functions, that is— (a) to license or register persons carrying on offshore financial services in Labuan; (b) to regulate and supervise the conduct of offshore financial services in Labuan. (4) The Authority may, with the written approval of the Minister, establish or participate in any body corporate— (a) for the purpose of promoting research and training in relation to offshore financial services; (b) for the purpose of enhancing the development of offshore financial services; or (c) if such establishment or participation is expedient or reasonably necessary for, or incidental to, the performance of the Authority’s functions provided under this Act. (5) Notwithstanding any provision to the contrary in any other law relating to offshore financial services, when the Authority is satisfied that it is necessary to do so for the purpose of giving effect to the objectives of the Authority, the Authority may issue directions to an offshore financial institution in respect of all or any of the following matters: (a) the policy to be followed by the offshore financial institution relating to the conduct of the institution’s business in Labuan; (b) the supervision and regulation of the offshore financial institution pursuant to the law relating to offshore financial services; (c) the monetary policy to be given effect to by the offshore financial institution. (6) Any offshore financial institution who fails to comply with any direction issued under subsection (5) shall be guilty of an offence and shall be liable, on conviction— (a) in the case of an individual person— (i) to a fine not exceeding two hundred and fifty thousand ringgit; and (ii) for a continuing offence, to a fine not exceeding two thousand and five hundred ringgit for every day during which the offence continues after conviction; and (b) in the case of a body corporate or partnership— (i) to a fine not exceeding five hundred thousand ringgit; and (ii) for a continuing offence, to a fine not exceeding five thousand ringgit for every day during which the offence continues after conviction.