Postal Services (Successor Company) 1

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LAWS OF MALAYSIA
REPRINT

Act 466

POSTAL SERVICES (SUCCESSOR

COMPANY) ACT 1991
Incorporating all amendments up to 1 January 2006

PUBLISHED BY
THE COMMISSIONER OF LAW REVISION, MALAYSIA
UNDER THE AUTHORITY OF THE REVISION OF LAWS ACT 1968
IN COLLABORATION WITH
PERCETAKAN NASIONAL MALAYSIA BHD
2006

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POSTAL SERVICES (SUCCESSOR COMPANY)

ACT 1991

Date of Royal Assent ... ... ... … … 2 September 1991

Date of publication in the Gazette … … 12 September 1991

PREVIOUS REPRINT

First Reprint ... ... ... ... ... 2001

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LAWS OF MALAYSIA

Act 466

POSTAL SERVICES (SUCCESSOR COMPANY)

ACT 1991

ARRANGEMENT OF SECTIONS

PART I

PRELIMINARY

Section

1. Short title
2. Interpretation

PART II

VESTING OF PROPERTY, ETC., IN SUCCESSOR COMPANY

3. Vesting provisions
4. Initial Government holding in the successor company
5. Government investment in securities of the successor company
6. Exercise of the Minister of Finance’s functions through nominees
7. Financial structure of the successor company

PART III

PROVISIONS RELATING TO STAFF

8. Staff

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LAWS OF MALAYSIA

Act 466

POSTAL SERVICES (SUCCESSOR COMPANY)

ACT 1991

An Act to provide for the vesting of property, rights and liabilities

of the Government of Malaysia relating to postal services in a
company, to make financial arrangements for that company, to
provide for matters relating to staff and for other matters connected
therewith.

[1 January 1992, P.U. (B) 649/1991]

BE IT ENACTED by the Seri Paduka Baginda Yang di-Pertuan

Agong with the advice and consent of the Dewan Negara and
Dewan Rakyat in Parliament assembled, and by the authority of
the same, as follows:

PART I

PRELIMINARY

Short title

1. This Act may be cited as the Postal Services (Successor Company)

Act 1991.

Interpretation

2. In this Act, unless the context otherwise requires—

“Corporation” means the Minister of Finance incorporated by

the Minister of Finance (Incorporation) Act 1957 [Act 375];

“liabilities” means liabilities, debts, charges, duties and obligations

of every description (whether present or future, actual or contingent,
and whether payable or to be observed or performed in Malaysia
or elsewhere); Adam Haida & Co
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“Minister” means the Minister for the time being charged with
the responsibility for matters relating to post;

“property” includes all property, movable or immovable, and all

estates, interests, easements and rights, whether equitable or legal
in, to or out of property, choses-in-action, money and goodwill;
and “vested”, in relation to property, includes rights to property
which are future or contingent and rights in reversion and remainder;

“rights” means all rights, powers, privileges and immunities,

whether actual, contingent or prospective;

“successor company” means the company to which property,

rights and liabilities in respect of postal services, to which the
Government of Malaysia was entitled or subject to, are from time
to time transferred to and vested in by the order made by the
Minister under section 3;

“vesting date” means the date on which property, rights and

liabilities in respect of postal services, to which the Government
of Malaysia was entitled or subject to, are transferred to and vested
in the successor company as specified by the Minister in the order
under subsection 3(1).

PART II

VESTING OF PROPERTY, ETC., IN SUCCESSOR COMPANY

Vesting provisions

3. (1) Subject to this Act, the Minister may, from time to time,
by order published in the Gazette, appoint a vesting date and on
such date all property, rights or liabilities of the Government of
Malaysia in respect of postal services specified by the Minister in
such order shall, by virtue of this Act, be transferred to and vested
in the successor company without any conveyance, assignment or
transfer whatever.

(2) Every property vested by virtue of subsection (1) in the

successor company shall be so vested in the company for the like
title, estate or interest and on the like tenure as the same was
vested or held immediately before the Adam Haida
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date.
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(3) Every chose-in-action vested by virture of subsection (1) in
the successor company may, after the vesting date, be sued on,
recovered or enforced by the company in its own name and it shall
not be necessary for the company or the Government of Malaysia
to give notice to the person bound by the chose-in-action of the
vesting effected by subsection (1).

(4) Every right and liability vested by virtue of subsection (1)

in the successor company may, on and after the vesting date, be
sued on, recovered or enforced by or against the company in its
own name and it shall not be necessary for the company or the
Government of Malaysia to give notice to the person whose right
or liability is affected by the vesting under subsection (1).

(5) Any pending legal proceedings by or against the Government

of Malaysia which relate to any property, right or liability transferred
to and vested in the successor company by virtue of subsection (1)
may, on and after the vesting date, be continued by or against the
successor company.

(6) In the case of rights and liabilities arising under any loans
which vest in the successor company on the vesting date, the
company may enter into such arrangements or agreements over
such rights and liabilities with the Government of Malaysia or any
third party.

(7) Where by virtue of subsection (1) any property is transferred

to and vested in the successor company, the provisions in Part
Thirty of the National Land Code [Act 56 of 1965] shall, for the
purpose of effecting the registration of such vesting, apply to the
successor company as if it were a public authority.

(8) On and after the vesting date, any agreement relating to any
property, rights and liabilities transferred to and vested in the
successor company under subsection (1) to which the Government
of Malaysia were a party immediately before the vesting date,
whether in writing or not, and whether or not of such a nature that
rights and liabilities thereunder could be assigned by the Government
of Malaysia, shall have effect as if the company has been a party
to the agreement. Adam Haida & Co
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Initial Government holding in the successor company

4. (1) As a consequence of the vesting in the successor company

of the property, rights and liabilities under section 3, the company
shall issue such securities of the company as the Minister of Finance
may, after consultation with the Minister, from time to time, direct—
(a) to the Corporation; or
(b) to any person entitled to require the issue of the securities
following their initial allotment to the Corporation.

(2) The Minister of Finance shall not give a direction under

subsection (1) at a time when the successor company has ceased
to be wholly owned by the Government of Malaysia.

(3) Securities required to be issued in pursuance of this section

shall be issued or allotted at such time and on such terms, as to
allotment, as the Minister of Finance may, after consultation with
the Minister, direct.

(4) Shares issued in pursuant of this section—

(a) shall be of such nominal value as the Minister of Finance
may direct; and
(b) shall be issued as fully paid and treated for the purposes
of the Companies Act 1965 [Act 125] as if they had been
paid up by virtue of the payment to the successor company
of their nominal value.

(5) The Minister of Finance may, after consultation with the

Minister, dispose of any securities issued or of any rights to securities
initially allotted to the Corporation in pursuance of this section.

(6) Any dividends or other sums received by the Corporation

in right of, or on the disposal of, any securities or rights acquired
by virtue of this section shall be paid into the Consolidated Fund.

Government investment in securities of the successor company

5. (1) The Minister of Finance may, after consultation with the

Minister, at any time, acquire—
(a) securities of the successor company or of any subsidiary
of the successor company; or
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(2) The Minister of Finance may, after consultation with the
Minister, dispose of any securities or rights acquired under this
section.

(3) Any expenses incurred by the Corporation in consequence

of the provisions of this section shall be treated as investments and
be authorized under subparagraph 8(3)(a)(iv) of the Financial
Procedure Act 1957 [Act 61].

(4) Any dividends or other sums received by the Corporation

in right of, or on the disposal of, any securities or rights acquired
under this section shall be paid into the Consolidated Fund.

(5) Stamp duty shall not be chargeable in respect of any increase

in the capital of the successor company which—
(a) is effected by the issue of shares allotted at a time when
the successor company was wholly owned by the
Government; and
(b) is certified by the Treasury as having been effected by
the issue of shares subscribed for by the Minister of
Finance under paragraph (1)(a).

Exercise of the Minister of Finance’s functions through nominees

6. (1) The Minister of Finance may, after consultation with the

Minister, appoint such persons as he thinks fit to act as his nominees
for the purposes of section 4 or 5 and—
(a) securities of the successor company may be assigned
under section 4 to any nominee of the Minister of Finance
appointed for the purposes of that section or to any person
entitled to require the issue of the securities following
their initial allotment to any such nominee; and
(b) any such nominee appointed for the purposes of section
5 may acquire securities or rights in accordance with that
section.

(2) Any person holding any securities or rights as a nominee

of the Minister of Finance by virtue of subsection (1) shall hold
and deal with them on such terms and in such manner as the
Minister of Finance may direct.Adam Haida & Co
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Financial structure of the successor company

7. (1) If the Minister of Finance, after consultation with the Minister,

so directs at any time before the successor company ceases to be
wholly owned by the Government of Malaysia, such sum, not
exceeding the accumulated realized profits of the Postal Department,
Malaysia, as may be specified in the direction shall be carried by
the company to a reserve, which in this section is referred to as
“the statutory reserve”.

(2) The statutory reserve may only be applied by the successor

company in paying up unissued shares of the company to be
allotted to members of the company as fully-paid bonus shares.

(3) For the purposes of any statutory accounts of the successor

company, the value of any asset or right or the amount of any
liability of the Postal Department, Malaysia, taken to have been
vested in the company by virtue of section 3 shall be taken to be
the value or, as the case may be, the amount assigned to the asset,
right or liability in the statement of accounts prepared by the
Postal Department, Malaysia, in respect of the last complete
accounting year of the Postal Department, Malaysia, ending before
the vesting date.

(4) For the purposes of any statutory accounts of the successor

company, the amount to be included in respect of any item shall
be determined as if anything done by the Postal Department, Malaysia,
whether by way of acquiring, revaluing or disposing of any asset
or incurring, revaluing or discharging any liability, or by carrying
any amount to any provision of reserve, or otherwise, had been
done by the successor company.

(5) Without prejudice to the generality of subsection (4), the

amount to be included from time to time in any reserves of the
successor company as representing its accumulated realized profits
shall be determined as if any profits realized and retained by the
Postal Department, Malaysia, had been realized and retained by
the successor company.

(6) References in this section to the statutory accounts of the

successor company are references to any accounts prepared by the
successor company for the purposes of any provision of the
Companies Act 1965. Adam Haida & Co
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(7) For the purposes of the section, “complete accounting year”
means an accounting year ending with 31 December or a period
to be determined by the Minister of Finance.

PART III

PROVISIONS RELATING TO STAFF

Staff

8. (1) The successor company shall accept into its employment

on a date to be appointed by the Minister by notification in the
Gazette every person who immediately before that date is a member
of the staff of the Postal Department, Malaysia, and who was given
an option by the Government of Malaysia and has opted to serve
as an employee of such company.

(2) Every such person who opts under subsection (1) to serve
as an employee of the successor company shall be employed by
such company on terms and conditions of service not less favourable
than the terms and conditions of service to which he was entitled
to immediately before the appointed date.

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LAWS OF MALAYSIA

Act 466

POSTAL SERVICES (SUCCESSOR COMPANY)

ACT 1991

LIST OF AMENDMENTS

Amending law Short title In force from

– NIL –

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LAWS OF MALAYSIA

Act 466

POSTAL SERVICES (SUCCESSOR COMPANY)

ACT 1991

LIST OF SECTIONS AMENDED

Section Amending authority In force from

– NIL –

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PERCETAKAN NASIONAL MALAYSIA BERHAD,

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