First Corporate Liability Charge under the Malaysian Anti-Corruption Commission Act 2009 – What Directors Need to Know

The Malaysia Anti-Corruption Commission (“MACC”) has charged a company providing ship rental services under Section 17A of the Malaysian Anti-Corruption Commission Act 2009. This is the first charge under Section 17A, which came into force on 1 June 2020. For context, Section 17A imposes liability on a company and its officers holding managerial positions if persons associated with the company offer a bribe to a third party for the company’s benefit. The maximum penalty for this offence is a fine of up to RM1 million or 10 times the value of the bribe (whichever is higher), or up to 20 years imprisonment, or both.