MALAYSIA CO-OPERATIVE SOCIETIES COMMISSION ACT 2007

LAWS OF MALAYSIA _____________ ONLINE VERSION OF UPDATED TEXT OF REPRINT _____________ Act 665 MALAYSIA CO-OPERATIVE SOCIETIES COMMISSION ACT 2007 As at 1 October 2023 This text is ONLY AN UPDATED TEXT of the Malaysia Co-Operative Societies Commission Act 2007 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 MALAYSIA CO-OPERATIVE SOCIETIES COMMISSION ACT 2007 Date of Royal Assent … … … ... 18 July 2007 Date of publication in the Gazette … … … … 19 July 2007 Latest amendment made by Act A1694 which came into operation on … … … … 1 October 2023 PREVIOUS REPRINT First Reprint …. … … 2012 3 LAWS OF MALAYSIA Act 665 MALAYSIA CO-OPERATIVE SOCIETIES COMMISSION ACT 2007 ARRANGEMENT OF SECTIONS PART I PRELIMINARY Section 1. Short title and commencement 2. Interpretation PART II THE COMMISSION Chapter 1 Establishment 3. Establishment of the Commission 4. Objects of the Commission 5. Vesting provisions 6. Common seal 7. Power to appoint Attorney 8. Power to establish office and subsidiary and to appoint agents 9. Appointment of person other than officer or employee 10. Commission may establish committee 4 Laws of Malaysia Chapter 2 Board of directors Section 11. Duties and composition 11A. Chief Executive Officer and Deputy Chief Executive Officer 11B. Power and duty of Chief Executive Officer 11C. Temporary exercise of the functions of Chief Executive Officer 11D. Secretary to the Board 12. By-laws of Board 13. Tenure of office 14. Resignation 15. Disqualification and termination of director 16. Actions and proceedings of Board not affected by vacancy, etc. 17. Allowance or honorarium 18. Duties of director 19. Meeting 20. Board may invite others to meeting 21. Disclosure of interest 22. Minutes of meeting PART III POWERS OF THE COMMISSION 23. Powers and functions of the Commission 24. Delegation of Commission’s power or function 25. Power of the Minister to give directive and require information 26. Power to consult the Syariah Advisory Council ACT 665 Malaysia Co-operative Societies Commission PART IV PROVISIONS RELATING TO OFFICER AND EMPLOYEE Section 27. Officer and employee of the Commission 28. Financial assistance to officer, employee and other persons 29. Application of Statutory Bodies (Discipline and Surcharge) Act 2000 30. Continuation and completion of disciplinary proceedings PART V FINANCIAL Chapter 1 Finance 31. Capital 32. General Reserve Fund 33. Annual Government grant 34. Operating fund 35. Power to borrow or raise fund 36. Power to lend 37. Investment Chapter 2 Account and report 38. Requirements to keep book, record, account, etc. 39. Reporting requirement 40. Financial year Chapter 3 Fund 41. Maintenance of fund and account 42. Central Liquidity Fund 5 6 Laws of Malaysia ACT 665 Section 43. Co-operative Deposit Account PART VI INVESTIGATION, SEARCH AND SEIZURE 44. Application of this Part 45. Appointment, power, function and duty of investigating officer 46. Powers of entry, search and seizure 47. Search of person 48. Obstruction to exercise of power by investigating officer 49. Requirement to provide translation 50. Power to examine person 51. Specific person in respect of whom power of investigation may be exercised 52. Assistance to police, public officer, etc. 53. Joinder of offences 54. Offence to be seizable offence PART VII GENERAL 55. Specific offence 56. Power of Commission to compound offence 57. Duty of investigating officer to make over arrested person to police 58. Public servant 59. Public Authorities Protection Act 1948 60. Immunity 61. Preservation of secrecy 62. Institution of prosecution 62A. Representation in civil proceedings 63. Power to make regulations 7 LAWS OF MALAYSIA Act 665 MALAYSIA CO-OPERATIVE SOCIETIES COMMISSION ACT 2007 An Act to provide for the establishment of the Malaysia Co-operative Societies Commission and for matters incidental thereto and connected therewith. [1 January 2008, P.U.(B) 464/2007] ENACTED by the Parliament of Malaysia as follows: PART I PRELIMINARY Short title and commencement 1. (1) This Act may be cited as the Malaysia Co-operative Societies Commission Act 2007. (2) This Act comes into operation on a date to be appointed by the Minister by notification in the Gazette and the Minister may appoint different dates for the coming into operation of different provisions of this Act. Interpretation 2. In this Act, unless the context otherwise requires— 8 Laws of Malaysia ACT 665 “Bank Negara Malaysia” means the Central Bank of Malaysia established under the *Central Bank of Malaysia Act 1958 [Act 519]; “security” includes a mortgage or charge, whether legal or equitable, debenture, bill of exchange, promissory note, guarantee, lien or pledge, whether actual or constructive, letter of hypothecation, indemnity, undertaking or other means of securing payment or discharge of debt or liability, whether present or future, or whether vested or contingent; “specified”, where no mode is mentioned, means specified from time to time in writing; “prescribed”, where no mode is mentioned, means prescribed from time to time by order published in the Gazette; “document” has the same meaning as defined under section 3 of the Evidence Act 1950 [Act 56]; “property” means any movable or immovable property and includes— (a) any right, interest, title, claim, chose in action, power or privilege, whether present or future, or whether vested or contingent, in relation to any property, or which is otherwise of value; (b) any conveyance executed for conveying, assigning, appointing, surrendering, or otherwise transferring or disposing of property where the person executing the conveyance is the proprietor or possessor, or wherein he is entitled to a contingent right, either for the whole or part of the interest; NOTE─The Central Bank of Malaysia Act 1958 [Act 519] has been repealed by the Central Bank of Malaysia Act 2009 [Act 701] which comes into operation on 25 November 2009–see section 100 of Act 701. * Malaysia Co-operative Societies Commission 9 (c) any security, including any stock, share, debenture, bonds, loan stocks, transferable subscription rights or warrants; (d) any negotiable instrument, including any bank note, bearer note, Treasury bill, dividend warrant, bill of exchange, promissory note, cheque and negotiable certificate of deposit; (e) any mortgage or charge, whether legal or equitable, guarantee, lien or pledge, whether actual or constructive, letter of hypothecation or trust receipt, indemnity, undertaking or other means of securing payment or discharge of a debt or liability, whether present or future, or whether vested or contingent; and (f) any other tangible or intangible property; “honorarium” means a portion of the audited net profit of the Commission distributed among some or all of the members of the Board in consideration of their services which would not otherwise be remunerated; “credit facility” means— (a) the giving of any advance, loan, trade credit or other facility in whatever form or by whatever name called whereby the person to whom the advance, loan, trade credit or other facility is given has access, directly or indirectly, to the funds or property of the person giving the same; (b) hire-purchase, leasing, factoring and such similar dealings or transactions; (c) the giving of a guarantee or the provision of any security in relation to the obligations of any person; or (d) any other like dealing or transaction as may be prescribed by the Commission; 10 Laws of Malaysia ACT 665 “Chief Executive Officer” means the Chief Executive Officer of the Commission appointed under section 11A; “co-operative society” has the same meaning as defined under section 2 of the Co-operative Societies Act 1993 [Act 502]; “Board” means the board of directors of the Commission; “Syariah Advisory Council” means the Syariah Advisory Council established under section 51 of the *Central Bank of Malaysia Act 1958 [Act 519]; “Minister” means the Minister charged with the responsibility for co-operative development; “Islamic financing” means the giving of any credit facility in accordance with the Syariah as may be approved by the Syariah Advisory Council and includes any other like dealing or transaction as may be prescribed under section 63; “director” means a member of the Board; “Chairman” means the Chairman of the Board appointed under paragraph 11(3)(a); “related corporation” means a subsidiary or associate corporation of a co-operative society or an associate corporation of a subsidiary or subsidiaries of a co-operative society; “return” includes any form of rental, profit, dividend or benefit, including any fee or gift, payable or to be given in relation to any Islamic financing instrument; “securities” has the same meaning as defined under section 2 of the Securities Commission Act 1993 [Act 498]; * NOTE─The Central Bank of Malaysia Act 1958 [Act 519] has been repealed by the Central Bank of Malaysia Act 2009 [Act 701] which comes into operation on 25 November 2009–see section 100 of Act 701. Malaysia Co-operative Societies Commission 11 “subsidiary” has the same meaning as assigned to it under section 5 of the *Companies Act 1965 [Act 125]; “Commission” means the Malaysia Commission established under section 3; Co-operative Societies “share” has the same meaning as defined under section 4 of the Companies Act 1965 or section 2 of the Co-operative Societies Act 1993, as the case may be; “appointed date” means the date on which this Act comes into operation; “Deputy Chief Executive Officer” means the Deputy Chief Executive Officer appointed under section 11A. PART II THE COMMISSION Chapter 1 Establishment Establishment of the Commission 3. (1) A body corporate by the name of “Malaysia Co-operative Societies Commission” is established. (2) The Commission shall have perpetual succession and a common seal, and may sue and be sued in its corporate name. (3) The Commission, subject to and for the purposes of this Act, upon such terms as it deems fit, may— (a) enter into contracts; NOTE─The Companies Act 1965 [Act 125] has been repealed by the Companies Act 2016 [Act 777] which comes into operation on 31 January 2017–see subsection 620(1) of Act 777. * 12 Laws of Malaysia ACT 665 (b) acquire, purchase, take, hold and enjoy movable and immovable property of every description; and (c) sell, convey, assign, surrender, yield up, charge, mortgage, demise, reassign, transfer, lease, let, sub-let or otherwise dispose of, or deal with any movable or immovable property or any interest vested in the Commission. Objects of the Commission 4. The objects of the Commission are to— (a) foster sound and orderly development of co-operative societies and the co-operative sector in accordance with cooperative values and principles to contribute towards achieving the socio-economic objectives of the nation; (b) promote a financially sound, progressive and resilient cooperative sector; and (c) maintain confidence in the co-operative movement. Vesting provisions 5. (1) Subject to this Act, the Minister may, by order published in the Gazette, appoint a vesting date and on such date all property, rights and liabilities of— (a) the Government of Malaysia; (b) the Registrar-General of Co-operative Societies Malaysia under the Co-operative Societies Act 1993; for (c) the Registrar of Fishermen’s Associations under the Fishermen’s Associations Act 1971 [Act 44]; and (d) the Registrar of Farmers’ Organizations under the Farmers’ Organization Act 1973 [Act 109], Malaysia Co-operative Societies Commission 13 (hereinafter in this section, the persons mentioned in pa