TUNKU ABDUL RAHMAN FOUNDATION FUND ACT 1966

k LAWS OF MALAYSIA ONLINE VERSION OF UPDATED TEXT OF REPRINT Act 389 TUNKU ABDUL RAHMAN FOUNDATION FUND ACT 1966 As at 15 June 2025 This text is ONLY AN UPDATED TEXT of the Tunku Abdul Rahman Foundation Fund Act 1966 by the Attorney General’s Chambers. Unless and until reprinted pursuant to the powers of the Commissioner of Law Revision under subsection 14(1) of the Revision of Laws Act 1968 [Act 1], this text is NOT AN AUTHENTIC TEXT. 2 TUNKU ABDUL RAHMAN FOUNDATION FUND ACT 1966 First enacted … … … 1966 (Act No. 43 of 1966) Revised … … … 1989 (Act 389 w.e.f. 19 October 1989) Latest amendment made by Act A1765 which came into operation on … … … 15 June 2025 PREVIOUS REPRINTS First Reprint … … … … … 2001 Second Reprint … … … … … 2006 3 LAWS OF MALAYSIA Act 389 TUNKU ABDUL RAHMAN FOUNDATION FUND ACT 1966 ARRANGEMENT OF SECTIONS PART I PRELIMINARY Section 1. Short title and application 2. Interpretation PART II THE FUND 3. Establishment and management of the Fund PART III THE BOARD 4. Powers of Board to accept grants, donations, etc. 5. Members of Board 6. Disqualification of members 7. Removal from office 7A. Objects of the Fund PART IV OBJECTS OF THE FUND 8. Cost of managing the Fund 4 Laws of Malaysia Section 9. Terms of award 10. Operation of this Act 11. Cessation of award in certain cases 12. Conditions of award PART V GENERAL 13. Investment powers of the Board 14. Audit and accounts 15. Seal of the Board 16. Appointment of officers and servants 17. Delegation by the Board 18. Liability for loss in investment 19. Rules 20. Liquidation 21. Transfer into Fund of moneys in the hands of sponsors ACT 389 5 LAWS OF MALAYSIA Act 389 TUNKU ABDUL RAHMAN FOUNDATION FUND ACT 1966 An Act to establish the Tunku Abdul Rahman Foundation Fund and to provide for the management of that Fund and other matters incidental thereto. [28 July 1966] BE IT ENACTED by the Seri Paduka Baginda Yang di-Pertuan Agong with the advice and consent of the Dewan Negara and Dewan Rakyat in Parliament assembled, and by the authority of the same, as follows: PART I PRELIMINARY Short title and application 1. This Act may be cited as the Tunku Abdul Rahman Foundation Fund Act 1966, and shall apply throughout Malaysia. Interpretation 2. In this Act— “Minister” means the Minister charged with the responsibility for the Tunku Abdul Rahman Foundation Fund. 6 Laws of Malaysia ACT 389 PART II THE FUND Establishment and management of the Fund 3. (1) There is hereby established a Fund to be known as the Tunku Abdul Rahman Foundation Fund (hereinafter referred to as the “Fund”). (2) The Fund shall vest in and be managed by a Board of Trustees (hereinafter referred to as the “Board”) which shall be a body corporate with perpetual succession and a common seal with the power to sue and be sued, to hold property movable or immovable, to make contracts and subject as hereafter provided to convey, assign, surrender, mortgage, lease or otherwise dispose of movable or immovable property vested in the Board upon such terms as it may think fit. PART III THE BOARD Powers of Board to accept grants, donations, etc. 4. The Board shall have power at its discretion to accept any grants, donations, endowments, gifts, or bequests made to or in favour of the Fund. Members of Board 5. (1) The Board shall consist of the following members viz— (a) the Chairman, who shall be appointed by the Yang di-Pertuan Agong, on the advice of the Minister; (b) a representative of the Ministry charged with the responsibility for the Fund; Tunku Abdul Rahman Foundation Fund 7 (c) a representative of the Treasury; and (d) six other members to be appointed by the Minister after consultation with the Chairman. (1A) The Chairman and members of the Board under paragraph (1)(d) shall be from amongst persons of standing, achievement and experience in the charity or human capital development field or from amongst professionals who possess relevant experience in educational, financial or commercial matters. (2) The Chairman and the members of the Board referred to in paragraph (1)(d) shall be appointed for a period of four years and are eligible for reappointment. (3) The Chairman shall preside at all meetings of the Board and in his absence from any meeting, such other member of the Board as may be elected by the members of the Board who are present shall preside as Chairman and have all the powers of the Chairman. (4) The Board shall meet at such places and times as the Chairman may appoint and at any meeting of the Board five members shall form a quorum. (5) The Chairman shall have a casting vote. (6) Subject to this Act the Board shall have power to determine its own procedure. Disqualification of members 6. A member of the Board shall be disqualified from holding office as such member if he— (a) becomes a bankrupt; (b) is sentenced to a term of imprisonment; or 8 Laws of Malaysia ACT 389 (c) commits any breach of trust or any dereliction of his duty as such member which in the opinion of the appointing authority warrants his removal. Removal from office 7. (1) The Minister may at any time remove from office any member of the Board appointed under paragraph 5(1)(d) and appoint another in his place. (2) Without prejudice to the power of removal under subsection (1), the Minister may remove from office any such member of the Board who by reason of ill-health or prolonged absence from Malaysia is in the opinion of the Minister rendered incapable of properly performing his duties as a member of the Board. Objects of the Fund 7A. The objects for which monies of the Fund may be applied are as follows: (a) to perpetuate the good name, legacy and aspirations of Yang Teramat Mulia Tunku Abdul Rahman Putra Al-Haj; (b) to uplift and empower individuals from underprivileged backgrounds to access and pursue higher education; (c) to strengthen Malaysia’s human capital in order to serve and contribute to the development and the progress of the nation; and (d) to promote national unity and to spread the principles of the Rukun Negara. Tunku Abdul Rahman Foundation Fund 9 PART IV OBJECTS OF THE FUND Cost of managing the Fund 8. (1) All expenses incidental to the management of the Fund shall be defrayed from the moneys of the Fund in priority to any other payments. (2) Subject to the provisions of this Act, the balance of the Fund after defraying the expenses referred to in subsection (1) shall be utilized for the following purposes: (a) to provide or award such number of studentships, scholarships, study grants or study loans, or any other award or financial assistance as the Board may determine from time to time to be provided or awarded to any person referred to in subsection (3) to enable the person to pursue such course or courses of education as the Board may think proper; (b) to provide grants, loans or any other form of financial assistance to any school or other educational institution for purposes of education upon such terms and conditions as the Board may determine from time to time; and (c) to provide any other form of assistance or equipment for any programmes or schemes as the Board may determine from time to time on condition that such assistance or equipment for the programmes or schemes shall achieve the objects of the Fund as provided under section 7A. (3) Paragraphs (2)(a) and (c) shall apply to any citizen of Malaysia who by virtue of his circumstances or other reasons require in the opinion of the Board to be provided with or assisted by a studentship, scholarship, study grant or study loan, any other award or financial assistance or any other form of assistance or equipment for any programmes or schemes under this Act. 10 Laws of Malaysia ACT 389 Terms of award 9. (1) Every recipient of a studentship, scholarship, study grant, study loan, any other award or financial assistance or any other form of assistance or equipment for any programmes or schemes, as the case may be, provided or awarded under this Act, shall become and during his tenure thereof shall remain— (a) a student at the place of education approved by the Board and shall pursue his studies at such place of education to the satisfaction of the Board; and (b) a participant in any programmes or schemes as approved by the Board and shall comply with the terms and conditions imposed by the Board. (2) If any recipient of any award made under this Act fails to satisfy section 8 or commits a breach of any of the conditions laid down by the Board or in any way whatsoever misconducts himself he may thereupon be deprived of such award. Operation of this Act 10. (1) This Act shall be supplementary to and not in derogation of any other written law relating to studentships, scholarships, study grants, study loans or any other awards in force in any part of Malaysia. (2) If in the opinion of the Board at any time that circumstances render any award under this Act inadvisable or if there is in any year no candidate entitled in the opinion of the Board to any award under this Act then no such award shall be made for that year and the money which otherwise would have been appropriated to such award may be dealt with as hereinafter provided in this Act. Tunku Abdul Rahman Foundation Fund 11 Cessation of award in certain cases 11. The Board may cease to provide, maintain or assist any recipient of an award under this Act who contravenes or fails to comply with the terms or conditions imposed by the Board in accordance with this Act or if it appears to the Board that a further pursuance of his studies or his participation in any programmes or schemes is not advantageous or reasonable by reason of his unsatisfactory scholastic progress misconduct or ill-health: Provided that in any such case of cessation of an award the Board shall defray all expenses necessary to return such recipient and his dependants if any to Malaysia if they shall have departed therefrom on the instructions or with the approval of the Board. Conditions of award 12. Before making any award under this Act the Board may impose such conditions as it deems necessary. PART V GENERAL Investment powers of the Board 13. (1) The assets of the Fund may be invested by the Board in— (a) investments for the time being authorized by law for the investment of trust funds; or (b) subject to subsection (2), other forms of investment. (2) Investments under paragraph (1)(b) shall be limited to a maximum of twenty per centum of the assets of the Fund and shall, if invested in shares— 12 Laws of Malaysia ACT 389 (a) be made in the shares of companies which have for three successive years immediately preceding such investment paid dividends on their ordinary shares; or (b) be made in the initial public offer shares of companies newly listed on the Stock Exchange which are allocated for and offered to the Fund by the Ministry of Finance or the *Ministry of Investment, Trade and Industry. (3) Notwithstanding subsection (1) the Board shall not make any investment in securities issued or registered, or other properties situated, outside Malaysia except with the approval in writing of the Minister of Finance. Audit and accounts 14. (1) The accounts of the Fund shall be audited by an auditor appointed by the Board with the approval of the Minister of Finance. (2) As soon as may be after the end of each calendar year the Board shall submit to the Minister an audited account of the revenues and expenditure of the Fund for that year together with a statement of assets and liabilities thereof; and the Minister shall cause the account and statement together with a copy of any observations of the auditor thereon to be laid before each House of Parliament. Seal of the Board 15. (1) A common seal of the Board shall be in the custody of the Chairman and shall not be affixed to any instrument except in the presence of the Chairman or any other member of the Board autho