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← Labuan Foundations Act 2010

Labuan Foundations Act 2010 s 37

Labuan Foundations Act 2010 s 37

s 37 Disqualification of officer

(1) A person shall not be appointed or remain as an officer of a Labuan foundation if— (a) he is a bankrupt, mentally disabled or of unsound mind; (b) that person, being a corporation, is the subject of any proceedings which may result in it being wound up or otherwise dissolved; (c) he is convicted of a criminal offence involving fraud and dishonesty or of any criminal offence for which he has been sentenced to imprisonment; (d) he is a council member; or (e) he is a person connected to a council member. (2) For the purposes of paragraph (1)(e), the person shall be deemed to be connected to a council member if he is— (a) a member of that council member’s family, including his spouse, parent, child including adopted child and stepchild, brother, sister and the spouse of his child, brother or sister; or (b) a corporation which is associated with that council member. (3) For the purposes of paragraph (2)(b), a corporation is associated with a council member if— (a) the corporation is accustomed or is under an obligation, whether formal or informal, or its directors are accustomed, to act in accordance with the directions, instructions or wishes of that council member; or (b) that council member has a controlling interest in the corporation. (4) An officer of a Labuan foundation, shall, in the event that he ceases to qualify under this section, give notice in writing of that event to the Labuan foundation and the Authority within seven days after the occurrence of that event. (5) The Authority may issue a direction that a person who falls within any of the instances under subsection (1) be disqualified from acting as an officer of a Labuan foundation.

Malay text (authoritative)

Kehilangan kelayakan pegawai

(1) Seseorang tidak boleh dilantik atau terus kekal sebagai pegawai suatu yayasan Labuan jika— (a) dia seorang bankrap, mengalami kecelaruan mental atau tidak siuman; (b) orang itu, yang merupakan pertubuhan perbadanan, ialah hal perkara apa-apa prosiding yang mungkin mengakibatkan ia digulung atau dibubarkan selainnya; (c) orang itu telah disabitkan atas suatu kesalahan jenayah yang melibatkan fraud dan kecurangan atau apa-apa kesalahan jenayah yang baginya dia telah dihukum dengan pemenjaraan; (d) dia ialah anggota majlis; atau (e) orang itu ialah orang yang mempunyai kaitan dengan anggota majlis. (2) Bagi maksud perenggan (1)(e), orang itu hendaklah disifatkan mempunyai kaitan dengan seorang anggota majlis jika dia— (a) ialah anggota keluarga anggota majlis itu, termasuk isteri atau suami, ibu atau bapa, anak termasuk anak angkat atau anak tiri, abang, kakak, dan isteri atau suami anaknya, adik lelakinya atau adik perempuannya; atau (b) suatu pertubuhan perbadanan yang mempunyai kaitan dengan anggota majlis itu. (3) Bagi maksud perenggan (2)(b), suatu pertubuhan perbadanan mempunyai kaitan dengan seorang anggota majlis jika— (a) pertubuhan perbadanan itu pada lazimnya, atau mempunyai obligasi, sama ada secara formal atau tidak formal, atau pengarah-pengarahnya pada lazimnya, bertindak mengikut arahan, petunjuk atau kehendak anggota majlis itu; atau (b) anggota majlis itu mempunyai kawalan kepentingan dalam pertubuhan perbadanan itu. (4) Seseorang pegawai suatu yayasan Labuan, hendaklah, jika dia hilang kelayakan di bawah seksyen ini, memberikan notis secara bertulis mengenai pemberhentiannya kepada yayasan Labuan dan Lembaga dalam tempoh tujuh hari selepas dia hilang kelayakan. (5) Lembaga boleh mengeluarkan arahan supaya seseorang yang berada dalam mana-mana keadaan di bawah subseksyen (1) tidak layak bertindak sebagai pegawai suatu yayasan Labuan.

Read this section in the full act → · Open Part V →

Find Act 706 on lom.agc.gov.my ↗

Text as at 1 August 2015 (LOM reprint); amendments made after that date may not be incorporated.

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).

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