Dewan Negara Passes Limited Liability Partnership (Amendment) Bill 2024

KUALA LUMPUR, July 31 (Bernama) -- The Limited Liability Partnerships (Amendment) Bill 2024, which aims to help reduce liability for partners in conventional partnerships, was passed by the Dewan Negara today.

Deputy Minister of Domestic Trade and Cost of Living Fuziah Salleh said that under the amendments to the Limited Liability Partnerships Act 2013 (Act 743), provisions related to the reporting framework and the disclosure of beneficial ownership information would be included.

Fuziah said that the Companies Commission of Malaysia (SSM) has prepared guidelines and frequently asked questions (FAQs) to provide understanding to Limited Liability Partnership (LLP) entities to comply with the new legislation on beneficial ownership disclosure while informing that no registration costs or fees would be incurred.

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She said that LLPs have an obligation to identify and obtain information on beneficial owners if an individual knows that he or she is a beneficial owner of an LLP.

"The individual also has an obligation to inform the LLP about the matter. This is important because if it is not disclosed, they will have an interest or will benefit or make decisions, which is the meaning of beneficial owner.

"For instance, in government tenders, if a person enters 10 tenders, but all 10 are beneficially owned by them and not registered anywhere. So, whichever company wins the tender, they will benefit, which is why it is crucial to register beneficial owners," she said.

The bill was passed by a majority voice vote after being debated by five senators.

-- BERNAMA