Tighter rules on trustees to curb embezzlement of funds for charity

 

Prime Minister Anwar Ibrahim chairing the special Cabinet committee on national governance’s meeting today. (PMO pic)

PETALING JAYA: 

Two laws governing trustees of organisations are to be amended in hopes of curbing the misappropriation of funds meant for religious, social or charitable purposes.

The two laws are the Trustees (Incorporation) Act and the Trustee Act 1949, the Prime Minister’s Office said in a statement.

The amendments will define 

beneficial owners

 as those who benefit from a trust, and introduce new rules to govern conflicts of interest, sources of funding and disclosures of information, and other matters.

The decision to amend the laws was taken at a meeting of a special Cabinet committee on national governance chaired by Prime Minister Anwar Ibrahim today.

The committee also agreed to encourage all 

G7 grade

 companies with a government procurement work certificate to obtain an anti-bribery management system certification, aimed at supporting the principle of corporate liability.

These companies will have priority in bidding for government procurement jobs worth RM100 million and above. -FMT