SSM conducts checks, reviews on companies

PETALING JAYA: The Companies Commission of Malaysia (CCM) will continue with enforcement activities including checks and review of its database, to ensure regulatory compliance.
Between 2014 and October 2016, CCM examined 9,340 companies related to various provisions of the Companies Act 1965.
A total of 281 companies were audited for compliance under section 167 of the Companies Act 1965 during the the same period, by providing CCM with their record keeping practices.
"In enforcing the strategy, CCM will continue to proceed with the inspection and review of any business entity not limited to entities incorporated under the Companies Act 1965 (Act 125), but also other types or categories of business entities registered under laws administered by CCM such as Business Registers under the Business Registration Act 1956 (Act 197) as well as the Registrar of Limited Liability Partnerships, under the Limited Liability Partnerships Act 2012 (Act 743)," it said in a statement yesterday.
CCM said that physical inspection conducted on any company is in line with the authority conferred by law to the commission as Registrar of Companies under the Companies Act 1965 (Act 125) to carry out inspection on any company or corporation as described in Section 7B (1) of the companies Act 1965.
Section 7B (1) of the Companies Act 1965 states that the Registrar may have access to any place or building and may inspect and make copies of or take extracts from any book, minutes, lists or documents kept by the corporation required by or under this Act.
"By virtue of the provisions of the above and to ensure regulatory compliance, CCM has the power to enter any place or premises to inspect any relevant documents without having to submit prior notice to any company."
"However, if any company fails to submit documents requested during the examination process, CCM may issue a notice under section 7B (2) of the Companies Act 1965 to obtain copies of the documents related to the company within 14 days," it added.
CCM said regulatory and enforcement activities continue to be its main agenda in addition to efforts to educate business owners of the legal implications of compliance and the need for best corporate governance practices.
"These are sown to the business community through the CCM Training Academy and will continue to be implemented. This is to create a conducive business environment, improve the level of compliance within the corporate community, and to make Malaysia the internationally preferred business destination," it said.