Description
- Beneficial ownership (BO) refers to the natural person(s) who ultimately own or control a company or legal entity, even if their ownership isn't directly reflected in the official records. It's about identifying the individuals who truly benefit from and control the entity, rather than just the registered owners. This concept is crucial for promoting transparency, preventing financial crimes, and ensuring accountability within corporate structures.
GOV Department
- Suruhanjaya Syarikat Malaysia (SSM) / Companies Commission of Malaysia
Details
- Applies to all companies (except exempted ones such as public listed companies).
- Companies must:
- Identify and verify beneficial owners (those with ≥20% ownership or control)
- Record BO information in a BO Register
- Submit BO data to SSM via the BO online system
- Submissions must be kept updated within 14 days of any changes.
- The BO Register must be kept at the registered office and made available for inspection.
Important Rules
- Must identify natural persons — not just corporate shareholders.
- Company must send notices to request BO information from relevant parties.
- Companies must appoint a person responsible for the BO register.
- BO information must be accurate and verified, including name, NRIC/passport number, and nature of ownership/control.
Compound & Punishment
- Failure to maintain or submit BO information may result in:
- Fines up to RM20,000 per offence
- Daily fines for continuing non-compliance
- Compound fines issued by SSM
- Directors and officers may be held personally liable
- Providing false or misleading information may result in criminal charges
Advisor
Jeffrey Eh Hao Yih , Director
Jeffrey has been providing expert guidance for businesses dealing with ongoing challenges. With his expertise, he aids clients in strategic business planning, streamlining operations, and enhancing productivity. Additionally, Jeffrey offers diverse business technology services to help digitize traditional businesses effectively.