Companies Act 2016 Audit Exemption: Opposition to Exempting Small Companies

In my earlier post, I had highlighted the proposed audit exemption for dormant companies and small companies under the Companies Act 2016. This would be carried out through a Practice Directive on Audit Exemption. The Companies Commission of Malaysia (SSM)  invited feedback on this proposed move.

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Pic from NY – http://nyphotographic.com/

SSM has now published the feedback it has received and has extended the deadline for feedback until 28 February 2017. From the feedback, there appears to be mixed views. In general, there is support for allowing dormant companies to no longer require an auditor. However, there are differing views on whether to allow audit exemption for small companies. A majority of the responses objected to such an exemption. Continue reading

The Malaysian Lawyer in the Media

Early on in my legal practice, I thought to myself that I would like to one day be featured in one of the business dailies. I wanted to work hard so that I had enough knowledge to share my views.

Coincidentally, I was already following Marcus’ Counsel column in The Edge. I did not know my fellow The Malaysian Lawyer back then. He was one of the few lawyers (if not, only lawyer) writing regularly on corporate-related matters at that time. I was thinking this relatively young lawyer, with the ang moh surname, already had his own column in a leading financial newspaper.

Marcus and I of course eventually met in person, became good friends, and then on a whim, set up The Malaysian Lawyer website. We wanted to continue to share our writing. Specifically, cutting out unnecessary legalese and use clear effective language in our legal articles.

From our small platform, the number of readers of The Malaysian Lawyer has exploded and it has been picked up by media outlets. Bloomberg TV, BFM radio and Focus Malaysia have all come across this website and invited me to speak with them.

More recently, I was featured on the cover story for Malaysia SME newspaper for their 11 June 2016 edition. I was interviewed on the impact of the new Companies Bill on SMEs in Malaysia. Continue reading

Interview on Focus Malaysia: New law gives minorities, auditors more clout

I was interviewed by Focus Malaysia and was featured in their 4 June issue. The article was titled ‘New law gives minorities, auditors more clout’.

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The article was on the Companies Bill 2015 and how it would impact public-listed companies in particular.

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BFM Interview: Companies Bill 2015 – A Big Bang Approach

About two weeks ago, I had a pre-recorded interview with BFM to share my views on the new Companies Bill 2015.

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This morning, the segment was aired as part of its Current Affairs series. You can click on to the podcast.

I generally shared why the new changes are to be welcomed and I traced the long process to arrive where we are at. On the one hand, we adopted the best practices from other jurisdictions. However, I also shared my personal thoughts on certain areas where we could have improved further. Finally, I shared how the different segments of the industry may be worried about the unknown and of the new.

Appearance on Bloomberg TV: Suits meets The Newsroom

Bloomberg Malaysia came across my earlier TML post on the Companies Bill and invited me on their show  to have a short chat. I was a bit nervous leading up to it, with it being my first TV interview. But I am glad I got to share my views on the new Bill.

I spoke about how the new laws would transform the corporate landscape, spur entrepreneurship and also strengthen corporate governance.

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That whole experience felt a bit like Suits meets The Newsroom. A lawyer getting a small glimpse into the inner workings of a news studio.

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Bloomberg has also uploaded the clip on their YouTube channel and you can view it below.

Continue reading

Malaysia’s Companies Bill Passed: The 7 Upcoming Changes

Parliament passed the Companies Bill 2015 this evening. It was first tabled for Second Reading on Thursday 31 March 2016 and Parliament continued and concluded its debate on 4 April 2016.

[update: The Bill has received Royal Assent on 31 August 2016 and has been gazetted on 15 September 2016 as the Companies Act 2016. I have written briefly about this in my latest post.]

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Upcoming Changes

I had previously written on some of the upcoming changes, especially on the challenges that directors may face and I was also featured on The Edge TV.

The new Companies Act will undoubtedly transform Malaysia’s corporate landscape. Underpinning the changes are the aims of spurring entrepreneurship, making the corporate vehicle more attractive for businesses, deregulating certain aspects of the corporate process, and to introduce the concept of corporate rescue for ailing companies.

It is anticipated that the new Companies Act itself will not be brought into force until a year’s time or so. This is because the new regulations, rules and guidelines will still need to be drawn up.

I set out below 7 of the more significant areas we will see in the new Companies Act. Continue reading