Companies Act 2016 Malaysia Changes

Highlights to the salient changes under the companies act 2016.

Companies act 2016 malaysia changes. According to reports the major changes are in relation to the incorporation procedure of companies the omission of authorised share capital and par value for shares as well as a corporate rescue mechanism for companies. The companies act 2016 mainly focuses on. An individual being the single shareholder and single director can incorporate a company. Companies act 2016 section 58 notification of change in the register of directors managers and secretaries company name nature of change type of change.

Taking effect on 31st january 2017 the companies act 2016 was established by the companies commission of malaysia ssm to replace the companies act 1965 with several key updates to benefit smes greatly such as lowering the minimum requirements for the company registration of a sdn bhd and simplifying the mandatory compliances that a sdn bhd has to follow. It is an offence under section 591 of the companies act 2016 to make or authorize the making of a statement that a person knows is false or misleading and that person may be. As per the new companies act 2016 there are certain changes and reformed rules. Company secretary registration registration of companies and corporate rescue mechanism.

A single individual can have complete control of the company and still enjoy the separate liability of the. Under the companies act 1965 old act a memorandum and articles of association m a is required for a company to be incorporated. Below are some of the important extract of the ca 2016 which will directly impact all smes. Enacted by the parliament of malaysia as follows.

Highlights to the salient changes under the companies act 2016. February 7 2017 admin 4 comments articles. Circumstances and procedures for rectification of documents lodged and registered with the companies commission of malaysia superseded by practice note no 6 2019 pdf. Short title and commencement.

Be prepared for the change in doing business in malaysia. Minimum number of members. 1 this act may be cited as the companies act 2016. Section 9 b ca 2016 act stipulates that a company shall have one.

Companies act 2016. Law of malaysia. However the companies commission of malaysia. The ca 2016 reformed almost all aspects of company law in malaysia.

Under the companies act 2016 new act the m a is replaced by constitution. This article will provide an overview of the ca 2016. No practice note format. The new companies act 2016 new ca provides for easier incorporation of companies compared to the existing companies act 1965 ca 1965.

Effectively all companies in malaysia will now have to operate under the companies act 2016 framework. The companies act 2016 ca 2016 repealed the companies act 1965 ca 1965 and changed the landscape of company law in malaysia. As of 2017 end and currently the companies in malaysia is functioned according to the 2016 companies act.