A HOST of new laws as well as amendments to existing ones are due to be introduced next year, ranging from those touching on corporate liability, digital tax and police transparency, as well as legislation covering local government elections.
The Malaysian Anti-Corruption Commission’s (MACC) corporate liability law
Section 17A of the MACC Act 2018 will take effect on June 1.
The provision, which was passed by Parliament last year, would enable the prosecution of business entities involved in corruption, giving more bite to the enforcement agency.
The act previously focused only on the prosecution of individuals involved in corruption.
Under Section 17A of the act, the firms’ directors, controllers, officers, partners, or managers are deemed to have committed the same offence, which carries a maximum penalty of a fine of not less than 10 times the value of the gratification or RM1 million, whichever is higher, and 20 years’ jail unless the firm is able to prove that it had in place procedures designed to prevent corrupt practices.
The provision is modelled after the United Kingdom’s Section 7 of the Bribery Act 2010, which is widely regarded as “the toughest anti-corruption legislation in the world”.
Digital tax on foreign service providers
Aimed at creating a level playing field in the digital sector, the six per cent tax is expected to take effect tomorrow.
Registration for foreign service providers is mandatory when the total value of digital services provided to consumers in Malaysia exceeds RM500,000 per year.
Examples of such digital services include software, applications, video games, music and video streaming services, subscription-based media, database and cloud storage services, advertising and online platform (including online advertising space on intangible media platform and offering a platform to trade in products or services), as well as search engines and social networks.
The Independent Police Complaints and Misconduct Commission (IPCMC)
The second reading of IPCMC Bill in Parliament, which was originally scheduled in December, was postponed pending a review by Parliament’s Special Select Committee.
The select committee addressed grouses by the police, as well as took into consideration feedback from stake-holders.
It said IPCMC and the police’s Integrity and Standard Compliance Department should foster a close working relationship, citing the Independent Office for Police Conduct and the United Kingdom’s Police Force Professional Standards Department.
This, the committee said, was to ensure that functions of both parties could be optimised and improve public confidence in the police.
Law on sexual harassment
In February, Deputy Women, Family and Community Development Minister Hannah Yeoh had announced that the authorities had completed a feasibility study on a sexual harassment bill.
The government, she said, would consult non-governmental organisations and victims of sexual harassment for their feedback before tabling the bill in the Dewan Rakyat.
The bill seeks to improve the mechanism used in lodging reports, shorten investigation procedures and punish those who fail to act on sexual harassment complaints.
It was initially scheduled to be tabled in Parliament in March, but was postponed to give more time for feasibility studies.
Local government elections
A cabinet memorandum on the revival of local government elections, last held in 1963, is scheduled to be discussed in Parliament in June, following the preparation of a proposal paper by the Housing and Local Government Ministry.
At present, elections are only held to pick members of parliament and assemblymen to administer the federal and state governments.
State governments appoint councillors to manage local authorities, while the ministers appoint the mayor and 15 members to sit on the advisory board.