In Malaysia, the power to convene an extraordinary general meeting (EGM) ordinarily rests with the company directors. The members themselves do not have a common law right to compel the directors to convene an EGM. However, Sections 144, 145 and 150 of the Companies Act 1965 provide mechanisms for members to convene an EGM, to express their views about the management of the company.
The Malaysian High Court recently decided on an appeal to the high court against the registrar of companies' decision to refuse to order the second defendant, DiGi.Com Berhad, to change its company name. The plaintiff contended that the second defendant's name was confusingly similar to its own name, DG Kom Sdn Bhd, thereby rendering it 'undesirable' under Section 22(1) of the Companies Act.
The Companies Commission has been established to administer and enforce statutes relating to companies and corporations. The Companies Amendment Act (2) 2002 reflects this role by changing provisions on the appointment and employment of officers under the Companies Act, as well as amending certain definitions.
In Malaysia, the statutory limited liability partnership (LLP) can be formed only in the federal territory of Labuan under the Labuan Offshore Limited Partnerships Act 1997. This update discusses the purposes for which such LLPs can be formed.
The Companies Act (Amendments) 2001 came into force on August 1 2001 and reversed the previous amendments. The substantial shareholding level is at 5% and Section 69P has been repealed. A further requirement to simultaneously serve the disclosure notices on the Securities Commission has also been included.
The Corporate Governance Code came into effect in January 2001 when the Kuala Lumpur Stock Exchange revamped its listing requirements and adopted substantial portions of the code. Now public listed company directors, advisers and officers will be held personally liable for their wrongdoings.
Including: Legal Background; Forms of Commercial Organization; Registration of Foreign Companies; Equity Requirements; Joint Ventures
The Registry of Companies recently directed that the number of objects to be stated in the memorandum of a company must be no more than three. This was outlined in a circular dated May 12 2000. However, the authority or legal provision under which the circular was issued is unclear, which may affect enforcement of its terms.