The Companies Commission of Malaysia (CCM) has recently carried out the “Compliance to the Companies Acts 2016 Campaign” effective from 1st January 2020 until 30 April 2020. Under this campaign, a reduction of up to 90% will be given to the companies who have outstanding compound received from CCM, if they fulfill the following situations:
- Active companies who have lodged their annual returns and financial reports pursuant to Companies Act 1965 and 2016;
- Dormant and inactive companies who have applied for strike off pursuant to Section 550 of the Companies Act, 2016.
The 90% reduction is only applicable to the following compound:
Under Companies Act, 2016, failure:-
to submit annual return (Section 68(1)), to prepare financial reports (Section 248(1)), to circular financial reports to members (Section 258(1)), to submit financial reports (Section 259(1)), to hold AGM (Section 340(1), public companies only);
Under Companies Act, 1965, failure:-
to reply SSM notice (Section 7(11)(b)), to hold AGM (Section 143(1)), to submit annual return (Section 165(4)/(5)), to table audited financial reports (Section 169(1) ).
Companies encountering the above mentioned problems are urged to settle the outstanding compound before the end of the campaign in order to avoid any further action that may be taken by CCM.