Why Do We Need a Company Secretary in Malaysia?
Who Can Be Appointed As A Company Secretary?
The qualifications for a Malaysia certified company secretary are set out by the Companies Act 2016. Some of these requirements are:
- Be a member of a professional body or any other body prescribed by the Malaysia Ministry of Trade. Company secretaries can be a professional drawn from these bodies:
- A Chartered Accountant registered under Malaysian Institute of Accountants (MIA)
- A Chartered Secretary registered Malaysian Institute of Chartered Secretaries and Administrators (MAICSA)
- A Licensed Secretary licensed by Company Commission of Malaysia to be company secretary)
- A Lawyer registered with Malaysian Bar, or appropriate authorities.
- A person has to obtain a license from the Companies Commission of Malaysia (CCM) that was also known as Registrar of Companies ROC). Any person practicing without a license is liable to prosecution and a penalty not exceeding Five Thousand Ringgit.
- The name of the person proposed for the position of company secretary should be included at the point of submitting incorporation documents to the Registrar of Companies, also known as Suruhanjaya Syarikat Malaysia (SSM). If this is not done, the company must do so within 30 days of receiving the Certificate of Incorporation.
How Is A Company Secretary Appointed?
- At the point of company incorporation in Malaysia, the first company secretary shall be named in the Articles of Association. When this is done, the appointment is effective from the date of incorporation.
- Any subsequent appointment of a company secretary apart from first secretary will be done by the board which only requires formal board resolution.
- The appointment of the company secretary is recorded on Form 49 which is filed with the Registrar of Companies within 30 days of receiving the Certificate of Incorporation.
- The Registrar of Companies shall enter the details of the Company secretary register book of the company.
Companies with larger operations may need more than one company secretary. The Companies Act allows the appointment of more than one company secretary. Large companies that have other branches across the globe can register several company secretaries for easier handling of legal matters across borders.