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asked on Mar 18, 2016 at 14:32
by   Anonymous
edited on Mar 30, 2016 at 02:38
 
Retrenchments hit five-year high!

KUALA LUMPUR, March 18 — The highest number of retrenchments within a five-year span was recorded last year, according to the Human Resources Ministry, with 38,499  layoffs across all sectors.

In a written reply to Tan Kok Wai (DAP-Cheras), the ministry said the manufacturing sector had the highest number of retrenchments over the last three years.

The highest number of retrenchments was recorded in 2007 (42,336), 2008 (47,145) and 2009 (64,516).

It said retrenchments could be categorised into ordinary layoffs and through the voluntary separation scheme (VSS).

Workers who are laid off will be paid according to the Employment Act 1955 or their collective agreement, the statement said.

Tan had asked the ministry to provide a breakdown of the number of workers retrenched by the various sectors in the last three years, following the economic downturn and oversupply of workers and its strategies to amend the nation’s human resources policy.

In January this year, 5,009 workers were retrenched compared to November (9,986) and December (5,758) last year.

The reduction in the number of layoffs shows the economy is getting stronger compared to the previous year although the current impact of the economic downturn is in its early stages, it added.

READ MORE: https://sg.news.yahoo.com/retrenchments-hit-five-high-says-ministry-234400948.html
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answered on Nov 24, 2016 at 20:06
by   Anonymous
Court: Bankrupt in Malaysia declared bankrupt in S’pore too

FMT Reporters | November 24, 2016

In a test case, a Singapore court has declared a man a bankrupt based on the fact that he had been declared a bankrupt in Malaysia for owing the armed forces retirement fund RM58 million.

PETALING JAYA: A Malaysian has been declared a bankrupt by a Singapore court on the basis that he was already under the same status in Malaysia, the Straits Times (ST) reported today.

Considered a test cast, the ruling by Justice Woo Bih Li in the Singapore High Court last week overturned an earlier decision by a lower court in a case that was filed by Lembaga Tabung Angkatan Tentera (LTAT) Malaysia.

According to the facts of the case, Ling Lee Soon, 71, is a retiree-cum-company director and is also said to be a director of two companies in Singapore with a registered address in Temasek Boulevard.

He is said to owe LTAT RM58 million but did not pay back the sum, according to the report. However, he was declared a bankrupt in Malaysia following the actions of another creditor.

LTAT then sought to recover the money in Singapore and pursuant to his failure to pay from his Singapore-based assets, LTAT’s lawyers from Morgan Lewis Stanford applied to have him declared bankrupt in Singapore in June. When that effort failed, an appeal was made and led to the judgment by the High Court last week, said the ST report.

According to the Singapore daily, Justice Woo had rejected Ling’s claim that LTAT’s real aim was to embarrass him with the Singapore court proceedings rather than recover a debt from him.

“Given that Ling had already been made bankrupt in Malaysia, LTAT would not ‘deliberately throw good money after bad just to embarrass him’”, Justice Woo said.

The judge also shot down another claim by Ling on his residence.

The retiree had claimed that his home was Kuala Lumpur, Kuching and Sibu and that he only came to Singapore on a long-term visit pass to meet relatives.

However, Justice Woo said such a claim was “untenable” because Ling had given a Singapore residential address to a Malaysian court in 2013, among other things.

Justice Woo said, with the ruling, an Official Assignee would be appointed to probe into Ling’s assets in Singapore and determine if it could be recovered to settle the debt with LTAT.

“In other words, the making of the bankruptcy order in Singapore was not an academic exercise,” Justice Woo was quoted as saying by the ST.

Ling’s lawyers said they would take the case to the Court of Appeal.

Full Story: http://www.freemalaysiatoday.com/category/nation/2016/11/24/court-bankrupt-in-malaysia-declared-bankrupt-in-spore-too/
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answered on Jan 4, 2017 at 23:28
by   jeff005
edited Jan 9, 2017 at 07:13
 
Something of interests I found on the Internet.

Discharge Application across the Causeway

Effective January 2017 in Singapore



The New Differentiated Discharge Framework for Bankrupts

Administration Date:

1. Bankrupt submits his Statement of Affairs and any supplementary information required

2. The trustee in bankruptcy determines the bankrupt's Target Contribution

a. This is the total amount he has to pay into the bankruptcy estate to become eligible for discharge.

b. The Target Contribution is equivalent to 52 Monthly Contributions for a first-time bankrupt, and 76 Monthly Contribution for a repeat bankrupt.

c. The Monthly Contribution is based on income that he is reasonably expected to earn and expenses for the necessary maintenance of himself and his family.

A first-time bankrupt may be discharged in:

3.
a. 3-5 years (*)
If he pays the Target Contribution in full and no threshold (**) of creditors objects to the discharge

The bankrupt's name will be removed from public records after 5 years from the date of his discharge

b. 5-7 years (*)
If he pays the Target Contribution in full and court rejects creditors' objections to the discharge

The bankrupt's name will be removed from public records after 5 years from the date of his discharge

c. After 7 years (*)
If he has not paid the Target Contribution in full and the court rejects creditors' objections to the discharge.

The bankrupt's name remains on the record permanently

NOTES:
(*)  For repeat bankrupts, each of these timelines will be extended by 2 years.
(**) The threshold is at least half in number of the creditors, or creditors whose debts amount to more than 25% of the total debts owed by the bankrupt.
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answered on Jan 13, 2017 at 03:23
by   Anonymous
Hire purchase the top reason for bankruptcy

Posted on 29 November 2016 - 05:39am

PETALING JAYA: Contrary to what people may think, the top reason for bankruptcy in the country is most often caused by car loans, or hire purchase, given that a car is a depreciating asset, said Credit Counselling and Debt Management Agency (AKPK) financial education manager Nirmala Supramaniam.

She said the mistake that most people make is calculating one’s income and looking at how much one can afford based on the monthly car instalment.

“But owning a car is more than that and we fail to calculate the petrol, parking, maintenance, service, road tax and insurance. Probably a car that I’m paying for RM700 a month, I should have RM1,400 allocated for it to include other expenses,” Nirmala explained to SunBiz recently.

She said most people do not have a problem paying the instalments but find it difficult to maintain the car. Eventually these people will default as they have created loans to maintain the car and when they do not have enough to pay, the car will be put up for auction.

“It’s a depreciating asset and when auctioned off, one still needs to pay the remaining balance. You can be declared a bankrupt when your loan balance is above RM30,000. When you look at a house, it’s a bigger amount but it’s an appreciating asset. If the property is auctioned there would be extra to settle the payment.”

Nirmala said the financial literacy level among Malaysians is still not up to par and education is needed, especially on loans and the things that people purchase, as well as the conditions and consequences to it.

“Consumer empowerment is needed. For example, as a guarantor, you need to know your rights. Sometimes people just sign the papers and they don’t know the obligations.”

She said insolvency statistics showed that those who are bankrupt are mostly 35-44 years old.

“But when you look at the real reason, it’s because when they were younger, they did not plan and were thinking of enjoying first.”

Source: http://www.thesundaily.my/news/2077390
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answered on Mar 9, 2017 at 19:53
by   Martin
Fewer bankrupt M’sians with amendments

9 March 2017

KUALA LUMPUR: Fewer Malaysians will be declared bankrupt if proposed amendments to the Bankruptcy Act 1967 are passed as it will protect social guarantors.s

Minister in the Prime Minister’s Department Datuk Seri Azalina Othman Said said Malaysia had a lot of social guarantors who were declared bankrupt by the substitute service system currently in place.

“A bankruptcy study revealed that more people are liable to be declared bankrupt under this substitute service system.

“We need to amend the law to give a chance to those who are served the bankruptcy notice to defend themselves,” she said in reply to a question by William Leong (PKR – Selayang) in Parliament yesterday.

Azalina is expected to table for second reading the Bill to amend the Bankruptcy Act 1967 in the Dewan Rakyat during this session.

Among the proposed amendments are to shorten the period before a person can be discharged from bankruptcy from the current five years to three years, while those above 60 or suffering chronic diseases should be automatically discharged after a certain period.

At the moment, Malaysia’s minimum threshold of debt before being declared bankrupt is RM30,000, but the Government aims to raise this to RM50,000.

Comparatively, in Singapore the minimum threshold is S$15,000 (RM47,000), Thailand is THB1mil (RM124,000), Brunei is $10,000 (RM31,000) Australia is A$5,000 (RM16,000), Britain is £5,000 (RM27,000) and United States is US$15,000 (RM69,000).

According to Insolvency Department statistics for last year, 82,383 individuals have been declared bankrupt by the courts, of which 69.3% are male.

In a breakdown by state, Selangor has the highest number of cases (22,593) and Perlis has the lowest (354).

Azalina also said there was an increase of 13.9% in the number of civil servants declared bankrupt in 2016 compared to the year before.

“In 2016, we recorded 3,276 bankrupt civil servants, compared to 1,093 in 2015 and 960 cases in 2014”, she said.

Source: http://www.thestar.com.my/news/nation/2017/03/09/fewer-bankrupt-msians-with-amendments/
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answered on Mar 30, 2017 at 03:31
by   May Choo
Parliament passes Bankruptcy (Amendment) Bill 2016

Wednesday March 29, 2017

KUALA LUMPUR, March 29 — The Bankruptcy (Amendment) Bill 2016, which among others, protects social guarantors from being declared bankrupt, was passed by Parliament today.

Minister in the Prime Minister’s Department Datuk Seri Azalina Othman Said described the bill as a reform to provide for a fairer system for social guarantors.

“This is because when we look at the definition of social guarantors, they are not guarantors who are profit oriented, but they stood as guarantors for study loans, research grants,” she said when winding up the debate on the bill.

However, she said the social guarantors would still face other process of the law should they were to abuse the provision.

“The person may not be declared a bankrupt, but there are still other actions that can be taken,” she added.

Earlier, when tabling the bill, Azalina said the government considered eight policy changes when in amending the Bankruptcy Act 1967, which included preventing bankruptcy action on social guarantors and raising the minimum threshold for bankruptcy.

However, she said, the new law did not cover social guarantors who had been declared bankrupt.

She said the bill would provide protection to social guarantors through amendment of Section 33B on four categories of bankruptcy which could be waived on the discretion of the Director-General of Insolvency without objection by the creditor.

In a situation where the social guarantors have not been declared bankrupt, with effect of this bill, they cannot be declared bankrupt,” she added.

However, the Director-general of Insolvency is still bound by the court in the issuance of the bankrupt discharging certificate, she added.

The Parliament sitting continues tomorrow. — Bernama

Source: http://www.themalaymailonline.com/malaysia/article/parliament-passes-bankruptcy-amendment-bill-2016
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answered on Mar 30, 2017 at 03:35
by   Bloombug
Azalina: Bankruptcy action against Malaysians ‘last choice’ in proposed law change

March 29, 2017

KUALA LUMPUR, March 29 — Bankruptcy proceedings against Malaysians will become a last resort move if Parliament approves proposed changes to the Bankruptcy Act 1967, minister Datuk Seri Azalina Othman Said said today.

Azalina said the Bankruptcy (Amendment) Bill 2016, which was tabled for second reading at the Dewan Rakyat today, is aimed at reducing the bankruptcy rates in the country.

The proposed amendments will make bankruptcy proceedings the “last choice” instead of the first choice in any enforcement of court decisions, she said.

It will also “create an alternative method to bankruptcy proceedings before an individual is made bankrupt.”

“A bankrupt individual who fulfills the criteria for release has the potential to be released faster to stimulate the country's economic growth and development and at the same time creditors would benefit when reasonable contributions are made by debtors,” the de facto law minister said.

The proposed law changes will also simplify bankruptcy proceedings and the process of administering bankruptcy cases, she said.

The amendments will create a society that is wise in managing their finances and more responsible in paying debts owed, as well as ensure creditors are more prudent in providing facilities for loan repayment, she said.

Azalina had said the Malaysia Department of Insolvency is as of this February administering 293,086 active bankruptcy cases nationwide, with Selangor currently accounting for almost one-fifth of the country's bankrupt individuals.

“Out of the total number of bankruptcy cases, Selangor recorded the highest number of bankruptcy cases in the country with 70,817 cases,” she said when tabling amendments to the Bankruptcy Act for second reading.

Noting that 58.57 per cent of bankruptcy cases in Malaysia involve those in the 25 to 44 age group, Azalina said these figures were worrying.

Source: http://www.themalaymailonline.com/malaysia/article/azalina-bankruptcy-action-against-malaysians-last-choice-in-proposed-law-ch
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answered on Oct 6, 2017 at 20:29
by   FMTNews
Kerajaan sasar 50,000 bebas status bankrap tahun depan, kata menteri

October 6, 2017

BANGI: Kerajaan mensasarkan untuk melepaskan 50,000 golongan bankrap di negara ini menjelang akhir tahun 2018.

Menteri di Jabatan Perdana Menteri, Datuk Seri Azalina Othman Said berkata sasaran itu untuk 4 golongan iaitu Orang Kelainan Upaya (OKU), orang yang meninggal dunia, penghidap penyakit kronik dan penjamin sosial.

“Tahun lepas, kita sasar untuk lepaskan 10,000 daripada status bankrap dan RM1.2 juta sudah diluluskan oleh Perdana Menteri Datuk Seri Najib Razak.

“Untuk tujuan tersebut, seramai 65 orang pekerja sambilan diambil untuk tujuan pentadbiran pelepasan kebankrapan tersebut,” katanya pada sidang media di Fakulti Undang-Undang, Universiti Kebangsaan Malaysia (UKM).

29 Mac lalu, Persidangan Dewan Rakyat meluluskan Rang Undang-undang Kebankrapan (Pindaan) 2016 yang me­rangkumi 8 perubahan dasar selepas dibahaskan.

Semasa membentangkan RUU tersebut untuk bacaan kali ke-2, Azalina berkata, kerajaan mempertimbangkan 8 perubahan dasar untuk meminda akta itu.

Katanya, 8 dasar itu ialah tindakan kebankrapan tidak boleh diambil terhadap penjamin sosial, me­­naikkan nilai minimum kebankrapan dan seseorang yang bankrap boleh dilepaskan awal daripada status kebankrapan selepas tempoh 3 tahun dari tarikh pemfailan Penyata Hal Ehwal (PHE).

Mengulas lanjut Azalina berkata langkah progresif tersebut terpaksa diambil berikutan bilangan golongan bankrap yang semakin kronik, terutama golongan berumur bawah 40 tahun di negara ini yang boleh membawa implikasi negatif kepada ekonomi negara.

“Berdasarkan kepada statistik Jabatan Insolvensi dari 2013 hingga Ogos 2017, seramai 23,036 bankrap adalah berusia di antara 25 hingga 34 tahun manakala seramai 1,109 bankrap berumur 25 tahun ke bawah.

“Justeru kerajaan berharap mekanisma penyelamat ini dapat mencegah golongan muda dari dijatuhkan bankrap dengan mudah,” katanya.

Source: http://www.freemalaysiatoday.com/category/bahasa/2017/10/06/kerajaan-sasar-50000-bebas-status-bankrap-tahun-depan-kata-menteri/
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answered on Oct 11, 2017 at 06:18
by   curiosity
edited Oct 23, 2017 at 08:17
 
Does someone who already bankrupt before the act was gazetted can apply for this early discharge after three years?
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answered on Oct 11, 2017 at 12:25
by   vkpc
does someone who already bankrupt before the act was gazette can apply for this early discharge after three years?
No.  Only for new bankrupts.
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answered on Dec 13, 2017 at 21:19
by   Anonymous
Young, carefree and broke

13 Dec 2017

PETALING JAYA: They lived the fast life, a life of Pradas and Guccis. When the cash is out, they max out on their credit cards.

Some even go as far as taking up personal loans to finance overseas trips, buying the latest expensive gadgets and holding lavish weddings.

And before they even turn 30, they are bankrupt.

Malaysia’s youth are seeing a worrying trend with those aged between 25 and 44 forming the biggest group classified as bankrupt.

They constituted almost 60% of the 94,408 cases reported from 2013 to August, according to the Insolvency Department.

Director-general Datuk Abdul Rahman Putra Taha said there were multiple factors that contributed to the trend, but singled out that many of them just wanted to “start their own life”.

“When they start their own lives, they are not financially stable. Some want to get married, but if the in-laws ask for hantaran gifts such as cars or a house, they need the money.

“Their pay can be considered low but they need expensive gifts. Where else can they go other than applying for personal loans?” he said in an interview recently.

Abdul Rahman also listed the top four reasons why a borrower was declared a bankrupt.

“Car loans took up 26.63%, personal loans (25.48%), housing loans (16.87%), and business loans (10.24%),” he said.

He revealed that the total number of people declared bankrupt from 2013 stood at 296,712 as of August, with Selangor having the most at 72,114, followed by the Federal Territories (46,377), Johor Baru (41,179) and Penang (22,136).

He urged the public to manage their finances prudently to ensure they would not be burdened by debt.

At the same time, Abdul Rahman said Bank Negara Malaysia (BNM) was making huge efforts to ensure it would not be so easy for the young to obtain credit cards.

In response, he said the department was committed to ensuring that the Government meets its target, especially with the Voluntary Arrangement under the Insolvency Act 1967.

Almost 58,000 bankrupts have been cleared or had their bankruptcy annulled by the courts in about the last five years, marking the first phase of the Government’s efforts to reduce bankruptcy cases following amendments to several bankruptcy laws.

From 2013 to August 2017, the courts have cleared 1,356 cases while another 11,627 cases have been terminated upon annulment of the bankruptcy order.

A total of 44,950 cases were discharged via Insolvency Certificate from the director-general.

However, the Government is pushing to slash the number of people being declared bankrupt to just about 4,000 to 5,000 cases per year.

The enforcement of the newly amended bankruptcy law began this year. If they meet our criteria, qualified borrowers will be automatically discharged as bankrupts three years from the date of filing of the Statement of Affairs (Penyata Hal Ehwal),” said Abdul Rahman

Under the amended laws, someone at risk of being declared a bankrupt can settle his debt without bankruptcy proceedings with a voluntary agreement.

“Our intention is to ensure that borrowers will be able to pay back their loans without undue suffering and creditors will get their money back, too.”

He said debtors must adhere to the agreed sum of contribution paid to the creditors and they must also file their pay and expenses slip statement every six months throughout the three-year period.

“As long as they fulfill the payment within the period, we will release their names,” said Abdul Rahman.

Under the new amendments of the Bankruptcy Act 1967, the Government has introduced a rescue mechanism with a single bankruptcy order to replace the receiving order and adjudication order from the courts as practised previously.

“This move ensures that creditors are also protected under the amended laws,” he said.

The Act has also paved the way for the setting up of the Insolvency Assistance Fund and a release from bankruptcy without objection by the creditors for certain groups of people.

These include social guarantors made bankrupt under the Bankruptcy Act 1967, those who have died, those categorised as people with disabilities (OKU) by the Welfare Department and those certified by government medical officers as suffering from chronic or serious diseases.

Source: https://www.thestar.com.my/news/nation/2017/12/13/high-life-and-youths-hit-a-new-low-younger-set-not-living-within-their-means-and-are-bankrupt-befor/
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