5 November 2018
On 22 May 2018, Bank Negara Malaysia (“BNM”) issued a circular (“Circular”) applicable to money services business (“MSB”) licensees under the Money Services Business Act 2011 (“licensees”). The Circular specifies additional requirements in relation to MSB compliance officers in order to ensure that the officer is able to effectively perform the compliance function in the MSB entity. The Circular specifies that a licensee which registers an annual turnover of MYR30 million and above is required to appoint a dedicated compliance officer.
A licensee with an annual turnover of MYR30 million and above, but less than MYR100 million, has until 31 December 2018 to comply with this requirement. The Circular explains this last requirement by stating that it is in view of the higher risks inherent in large operations and greater need for such licensees to effectively manage their risk exposures.