This update is relevant to beneficial owner, company directors, corporate secretaries, compliance officers, and legal advisors who are responsible for maintaining corporate records and ensuring regulatory compliance.
Following the mandatory requirement to furnish beneficial ownership (“BO”) information from 1 April 2024, the Companies Commission of Malaysia (“CCM”) has also launched a new facility to enhance transparency and accessibility of companies’ BO records. This initiative, announced on 28 January 2025, aligns with Malaysia’s commitment to corporate governance, anti-money laundering, and financial transparency standards. Read also our article here on the BO reporting framework.
The initiative launched by CCM is in line with the Companies (Access to the Register and Information Relating to Beneficial Ownership) Regulations 2025 (“BO Regulation”) which recently came into effect on 10 January 2025. The BO Regulations introduce key provisions on:
- Access to BO Register;
- Access to BO Information; and
- Other related obligations.
To clarify public inquiries, CCM also released FAQs addressing key aspects of the BO Regulation (see below for information reproduced from the FAQ).
Key Highlights
- Access to BO Register
Regulation 3(1) states that access to a company’s BO Register is restricted to:
1. The beneficial owner (only for their own information)
2. Authorised persons with written approval from the beneficial owner
3. Bank Negara Malaysia (“BNM”) as the competent AMLA authority
4. Enforcement agencies in Malaysia
Companies must verify identification documents (such as identification card, passport, written approval) before granting access (see Regulation 3(3)).
- Access to BO Information
Regulation 4(1) states that BO Information lodged with the CCM may be accessed by:
1. The beneficial owner or their authorized representative
2. Reporting institutions under AMLA’s First Schedule (e.g. lawyers, accountants etc.)
3. BNM and enforcement agencies
4. Federal/State Governments and local authorities (for government procurement purposes)
Applications must be submitted to CCM with a RM20 fee and supporting documents (see Regulation 4(2)). The Registrar may impose additional conditions or reject the application (see Regulation 4(3)).
- Obligation to report discrepancy
Regulation 5(1) provides that entities accessing BO Information must report any discrepancies to the Registrar within 30 days. The Registrar may direct companies to rectify, amend, or take other necessary actions regarding their BO records.
- CCM BO FAQ
1. Initial Access via CCM Headquarters – BO information is currently only available at the SSM headquarters counter (Menara SSM@Sentral). Online access will be introduced later, with the implementation date to be announced.
2. Registration via SSM4U Portal – Applicants must register as a user on SSM4U Portal and complete the verification process. Existing SSM4U users do not need to re-register.
3. Application Process – Applicants must:
– Complete the Beneficial Ownership Information Application Form
– Submit the form at the CCM counter
– Pay a fee of RM20 per company (cash payment only)
– Receive the BO information in PDF format via email within three working days
4. To obtain third-party BO information (where applicable), the application must include a written authorisation letter from the relevant organisation or institution.
Potential Immediate impact to Businesses
- Companies must ensure their BO registers are accurate and up to date, as enforcement agencies and reporting institutions can now access and verify BO records, leading to greater regulatory scrutiny.
- With greater access to BO information, businesses should expect stricter enforcement from authorities, particularly in AMLA compliance and corporate governance.
- Only specified parties can access BO registers and information, requiring proper authorisation and supporting documentation. For due diligence purposes, particularly in M&A transactions, lawyers representing investors or purchasers may now request to be authorised by the BO to conduct searches and access BO information.
- Entities accessing BO information must report inconsistencies within 30 days, reinforcing the need for regular internal audits of corporate records.
- Businesses should prepare for potential delays and administrative burdens, as BO information is currently only available at the CCM headquarters counter, with online access pending future implementation.
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This article was written by Sylvia Lock (Senior Associate) from Donovan & Ho’s corporate practice group.
Donovan & Ho is a law firm in Malaysia, and our corporate practice group advises on corporate acquisitions, restructuring exercises, joint venture arrangements, shareholder agreements, employee share options and franchise businesses, Malaysia start-up founders and can assist with venture capital funds in Seed, Series A & B funding rounds. Feel free to contact us if you have any queries.
