Malaysia
On 1 October 2024, the Securities Commission Malaysia (SC) announced a regulatory sandbox to enhance the regulatory framework, aimed at encouraging securities tokenisation and increasing innovation in capital markets. Corporations engaged in developing solutions related to financial inclusiveness, Islamic finance, and retirement solutions are encouraged to apply. They have until April 2025 to apply to be part of the first cohort of the sandbox. For more information, please click here.
On 15 October 2024, the SC and World Bank issued a joint report ESG Disclosure Assessment of Malaysia’s Listed Companies at the SC-World Bank Conference 2024. The report analyses ESG disclosure practices among listed companies, highlighting good corporate governance disclosures but noting gaps in certain environmental indicators. The report’s recommendations include enhancing Bursa Malaysia’s sustainability reporting guidelines and fostering ESG practices among investors. For more information, please click here.
On 21 October 2024, the SC announced that the ASEAN Capital Markets Forum (ACMF) held its 41st Chairs’ Meeting to focus on integrating capital markets across the region. The ACMF endorsed the ASEAN Transition Finance Guidance Version 2 to support a low-carbon economy. ACMF noted the launch of the Asia Green Transformation Consortium and discussed progress on the ASEAN Voluntary Carbon Markets Study. The meeting concluded with a handover of chairmanship to the Securities Commission Malaysia for 2025. For more information, please click here.
On 21 October 2024, the SC released its Public Response Paper addressing feedback on the Public Consultation Paper regarding the proposed National Sustainability Reporting Framework, which was released in February 2024. For more information, please click here.
Enforcement
On 23 October 2024, the SC announced that their Audit Oversight Board (AOB) has prohibited Sathiea Seelean A/L Manickam from auditing any public interest entities (PIEs) for one year, commencing on 22 October 2024. The AOB also imposed a fine of RM87,500. Sathiea was a former partner at Morison Anuarul Azizan Chew. During his time there he failed to comply with International Standards on Auditing during his audit of a public listed company; specifically, he did not acquire sufficient evidence to support his audit opinion in key audit areas. Sathiea’s appeal against the AOB's decision was dismissed. For more information, please click here.
This document is provided for information purposes only and does not constitute legal, tax, investment, regulatory, accounting or other professional advice. For more information on the legal and regulatory status of IQ-EQ companies please visit www.iqeq.com/legal-and-compliance.