FAQ

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Corporate Recovery

Who is a liquidator?

Who is a liquidator?

A liquidator is an officer appointed by the High Court or the Creditors of the Company to realise all available assets of the Company and distribute proceeds received from assets realisation after deducting cost of liquidation and any remaining surplis to remaining contributories to Creditors whose Proof of Debts have been admitted.
Being an officer of the Court or agent of the Company (appointed by the Creditors), the liquidator is empowered to act on all matters on behalf of the Company.

What should I do if I have claims against the Company?

What should I do if I have claims against the Company?

You are required to submit to the liquidator, a Proof of Debt form (“POD form”) together with the relevant supporting documents duly certified as true copies by an Advocate and Solicitor. The POD form can be downloaded from here.

What is a POD?

What is a POD?

A POD is a statutory form to be lodged with the liquidator by any party whom has claims against the Company which is in liquidation.

What is Certified True Copy (“CTC”) and who can certify my documents?

What is Certified True Copy (“CTC”) and who can certify my documents?

A certified true copy is a copy of an original document that has on it an endorsement that it is a true copy of the original document and all documents are to be certified only by an Advocate and Solicitor.

Project Rehabilitation

What is the Liquidators task in abandon project?

What is the Liquidators task in abandon project?

In the case of abandoned project(s), Liquidator will undertake to revive the project subject to availability of funding.

Why is the Verification of Ownership (VOE) necessary in abandoned projects?

Why is the Verification of Ownership (VOE) necessary in abandoned projects?

To identify purchasers with beneficiary interest in the project.

Who can certify the documents?

Who can certify the documents?

The documents can be certified by Advocates and Solicitors only.

Why do the documents need to be certified true copy?

Why do the documents need to be certified true copy?

To prove the authenticity of the copy of the document.

When will your company commence the rehabilitation work?

When will your company commence the rehabilitation work?

Rehabilitation work will commence upon purchasers agree to terms of rehabilitation and availability of funds.

Do we need to sign a new S&P to commence the rehabilitation?

Do we need to sign a new S&P to commence the rehabilitation?

No. Liquidator will step into the shoes of the developer and resume the construction according to Sales and Purchase Agreement.

Is it possible for me to send all my documents by regular Postage or Courier?

Is it possible for me to send all my documents by regular Postage or Courier?

Documents are to be sent by registered post or courier only.

Conveyancing

What is conveyancing?

What is conveyancing?

Conveyancing refers to all legal administrative activities associated with transfer of legal title from one party to another.

In Malaysia, Conveyancing activities are usually performed by a professional such as an Advocate and Solicitor. A Purchaser may do the process on his/her own accord, however it is best to leave the job to the experts since it can be time-consuming and risky if one lacks the necessary expertise.

A Purchaser must ensure that he or she has good title to the land; i.e , that the Seller is the owner, has the right to sell the Property and there is no factor which would impede any future sale transaction.

The system of conveyancing is designed to ensure that the Purchaser secures title to the land annexed with all the rights that runs concurrently with the Land and is notified of any restriction in advance of purchase. This process is to facilitate a system of land registration which is designed to encourage reliance on public records and assure Purchasers of land that they are taking good title.

Why do I need to attend to the Perfection of Transfer?

Why do I need to attend to the Perfection of Transfer?

Strata Title Act 1985 Section 40A

(1) Any original proprietor or any person or body appointed by a court of competent jurisdiction shall execute the transfer of strata titles to the parcel proprietors within twelve months from the date of issue of strata titles by the Land Administrator or any extended period approved by the Director upon the opening of the strata register.

(2) Any purchaser shall execute complete documents of transfer of strata titles within twelve months or any extended period approved by the Director from the date of notice of transfer of strata titles issued by the original proprietor or from the date of purchase of the parcel, whichever is the later.

(3)Any original proprietor or any person or body appointed by a court of competent jurisdiction or any purchaser who fails to comply with subsection (1) or (2) shall be guilty of an offence and shall, on conviction, be liable to a fine of not less than one thousand ringgit and not more than ten thousand ringgit per parcel.

(4) As you can see from the above, the Purchaser and also the original proprietor (developer or land owner) shall be guilty of an offence liable to fines of RM1,000.00 to RM10,000 per parcel (if convicted) if the transfers are not executed within the stipulated period. This is reason enough for owners to quickly execute the transfer once they have received the notice of the issuance of strata titles from the developer.

What are my other options, if I have lost the official receipts or Loan Agreement, Deed of Assignment and Deed of Receipt and Reassignment in order for me to show proof of my ownership?

What are my other options, if I have lost the official receipts or Loan Agreement, Deed of Assignment and Deed of Receipt and Reassignment in order for me to show proof of my ownership?

  • Last progressive payment receipt OR Vacant possession letter OR TNB & Water deposit receipt; it must be supported with a statutory declaration. 
  • If you still cannot provide the above documents, you are advice to obtain a court direction/court order to prove that the property is yours. 

Can the documents be certified true copy by Commissioner of Oaths?

Can the documents be certified true copy by Commissioner of Oaths?

No. Documents submitted to RIMBUN should only be certified as true copy by an Advocate and Solicitor.

What is our administrative fee?

What is our administrative fee?

  • As based on the new fee structure subject to 6% SST 
  • Refer to fee structure Appendix 

How long is the duration for extraction of the strata title from the land office upon registration?

How long is the duration for extraction of the strata title from the land office upon registration?

Approximately 6-8 months (subject always to change by the Land Office).

Why is having the title to your property important ?

Why is having the title to your property important ?

  • As ultimate proof of your property ownership.
  • As a dealing instrument for instances of charging to banks for loans. Banks will be reluctant to give higher margin for loans or will decline the financing outright.
  • To form a management corporation (MC) by owners of the subdivided building to maintain and manage the building and to have their own by laws, usage or restrictions (for stratified property).
  • As final proof of the built-up area of your unit.
  • To make it easy for succession processes whereby the beneficial owner has passed away.

How long does it take upon the completion of the VOE until the title is release to the solicitor for them to perfect the transfer?

How long does it take upon the completion of the VOE until the title is release to the solicitor for them to perfect the transfer?

  • Upon the completion of our VOE process, our side shall apply for the blanket consent at the land office; the approval might take up to 3 month, the whole process might take up to 4 month for us to deliver the document to your solicitor. 
  • Where a property does not require consent to be apply, we shall execute the Memorandum of Transfer and together compile the necessary documents to be forwarded to the solicitor within 3 weeks. 

Receiver and Manager

What is a Receiver & Manager ?

What is a Receiver & Manager ?

A Receiver and Manager is an approved liquidator appointed over a company during a receivership by a secured creditor or by court under the terms of a deed of charge or debenture. 

What can a Receiver & Manager do ? 

What can a Receiver & Manager do ? 

The powers are codified in Schedule 6 of Companies Act 2016

What is the difference between liquidator and receiver & manager

What is the difference between liquidator and receiver & manager

Liquidator is acts on behalf unsecured creditors whereas receiver& manager acts on behalf of secured creditor. The receiver& manager’s main duty is to take control and sell off the company assets that were charged to the bank to recover the debts owed by the company and repay the bank. On the other hand, the liquidator attempts to repay the debts owed by the company to all the unsecured creditors by taking control of all assets and selling them. Their powers and obligations are listed in Schedule Twelve & Schedule Six respectively. 

How can a receiver & manager be appointed ?

How can a receiver & manager be appointed ?

The appointment of a receiver & manager is either through an instrument that confers on a debenture/charge holder the power to appoint a receiver/receiver & manager, under an instrument that creates a charge in respect of property and undertaking of a company that confers on the charge holder the power to appoint a receiver / receiver & manager or appointment by court.

What is a debenture ? 

What is a debenture ? 

Debenture includes debenture stock, bonds, sukuk, notes and any other securities of a corporation whether constituting a charge on the assets of the corporation or not.

What can happen to my property if I fail to settle the redemption sum to the bank ?

What can happen to my property if I fail to settle the redemption sum to the bank ?

If the purchaser fails to pay the redemption sum to the bank, the bank can terminate the Sale and Purchase Agreement (“SPA”) and dispose the property to recover the loan.

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