Latest news with #NorwichPharmacal
Sinar Daily
17-06-2025
- Business
- Sinar Daily
Businesses engaged in foreign transactions must exercise heightened diligence under AMLA
Companies operating in high-risk sectors such as maritime, petroleum and logistics, which frequently conduct foreign exchange transactions, must exercise heightened diligence in documenting their operations. 05 Jun 2025 06:09pm Pix for illustration purpose only. - FILE PIX KUALA LUMPUR - Malaysian business owners engaged in international transactions are advised to maintain comprehensive records and promptly report any suspicious activity to Bank Negara Malaysia (BNM) to ensure compliance with the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001(AMLA). Lawyer Guok Ngek Seong, who has nearly 25 years of experience in civil and criminal litigation, told Bernama that companies operating in high-risk sectors such as maritime, petroleum and logistics, which frequently conduct foreign exchange transactions, must exercise heightened diligence in documenting their operations. BNM has the authority to conduct annual checks on such entities to ensure compliance with AMLA regulations. He was speaking on the matter in light of recent actions taken by BNM, which imposed administrative monetary penalties amounting to RM4.95 million on several financial institutions for breaches of statutory and regulatory obligations. The penalties involved non-compliance with provisions under the Development Financial Institutions Act 2002 as well as failures to adhere to requirements under the Anti-Money Laundering, Countering Financing of Terrorism and Targeted Financial Sanctions for Financial Institutions Policy Document. These regulatory actions reflect the heightened scrutiny placed on financial and corporate entities, reinforcing the need for robust compliance measures, especially in sectors exposed to cross-border transactions. Guok stressed that proper record-keeping may constitute a key line of defence should a company come under investigation for alleged money laundering or involvement in unlawful activities. "BNM has the authority to conduct annual checks on such entities to ensure compliance with AMLA regulations,' he said. When asked whether litigants may obtain court orders through pre-action discovery or the Norwich Pharmacal process, Guok explained that such orders are available to parties seeking disclosure from individuals or entities not directly involved in the anticipated proceedings. He noted that Norwich Pharmacal orders permit a litigant to compel a third party, who is not itself implicated in the alleged wrongdoing but is mixed up in it innocently, to disclose information necessary to identify or pursue the actual wrongdoer. "However, the court must balance such applications to prevent any form of abuse or 'fishing expeditions', particularly in light of, among other considerations, the principle of banker-client privilege. "It is sometimes crucial for clients to obtain documents from banks, especially in cases where suspicious transactions have been traced to accounts held by corporations later found to be involved in fraudulent activities,' he said. He said the only viable means for victims to substantiate such transactions is by obtaining the relevant documentation, which may be instrumental in identifying the mechanisms or systems employed to facilitate the fraudulent activity. Commenting on the Bankers' Books (Evidence) Act 1949 (BBEA), Guok noted that while Section 6 restricts the compellability of bank officers to produce bankers' books where the bank is not a party to the proceedings, the court nonetheless retains the discretion to issue such an order where appropriate. "The court must balance the interests of banker-client confidentiality against the issues in the particular suit before making appropriate orders. "While some discovery applications may be deemed an abuse of process, others are genuine, especially when litigants require documents from banks to trace the money trail in their cases,' he added. - BERNAMA international transactions
Belfast Telegraph
12-06-2025
- Politics
- Belfast Telegraph
Martin says defamation reforms will happen ‘quickly'
Mr Adams took the BBC to court over a 2016 episode of its Spotlight programme, and an accompanying online story, which he said defamed him by alleging he sanctioned the killing of former Sinn Fein official Denis Donaldson, in which he denies any involvement. Last month, a jury at the High Court in Dublin found in his favour and awarded him 100,000 euros (£84,000) after determining that was the meaning of words included in the programme and article. The BBC, which was found by the jury not to have acted in good faith nor in a fair and reasonable way, was also ordered to pay the former Sinn Fein leader's legal costs. At the time, the director of BBC Northern Ireland Adam Smyth said there were 'profound' implications from the jury's decision. 'As our legal team made clear, if the BBC's case cannot be won under existing Irish defamation law, it's hard to see how anyone's could – and they warned that today's decision could hinder freedom of expression.' Spotlight reporter Jennifer O'Leary said she had entered the witness box in the trial with 'nothing to hide, only sources to protect and I want to thank them for trusting me'. The broadcaster's legal team was granted a stay in the payment of the full award as it takes time to consider an appeal. Asked if he agreed with the BBC's assessment of the case on Thursday, Taoiseach Micheal Martin said: 'I think the defamation laws need to be changed – we're going to change them.' Mr Martin said the Government would pass the legislation 'as quickly as we can' and paid tribute to Ms O'Leary. 'I think we do need to get it through to create a balanced environment for commentary and for investigative journalism.' He added: 'Jennifer O'Leary is a first-class journalist.' Among the key provisions in the Defamation Bill highlighted by government are the abolition of juries in High Court defamation actions, which is hoped to reduce delays and legal costs; and of protections against strategic lawsuits, also known as SLAPPs actions, viewed as having a chilling effect on public interest journalism and press freedom. The draft laws also include a statutory power for the Circuit Court to issue a 'Norwich Pharmacal' order, allowing a digital services provider to identify an anonymous poster of defamatory statements online. Mr Martin, who took legal action against Google at the High Court for information about who had financed fake ads which claimed he had endorsed specific cryptocurrencies, added: 'We've published heads of the bill, and (Justice Minister Jim) O'Callaghan is going to proceed, we're going to do it in this Government.'
The Sun
05-06-2025
- Business
- The Sun
Foreign transaction firms must boost AMLA compliance diligence
KUALA LUMPUR: Malaysian business owners engaged in international transactions are advised to maintain comprehensive records and promptly report any suspicious activity to Bank Negara Malaysia (BNM) to ensure compliance with the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001(AMLA). Lawyer Guok Ngek Seong, who has nearly 25 years of experience in civil and criminal litigation, told Bernama that companies operating in high-risk sectors such as maritime, petroleum and logistics, which frequently conduct foreign exchange transactions, must exercise heightened diligence in documenting their operations. He was speaking on the matter in light of recent actions taken by BNM, which imposed administrative monetary penalties amounting to RM4.95 million on several financial institutions for breaches of statutory and regulatory obligations. The penalties involved non-compliance with provisions under the Development Financial Institutions Act 2002 as well as failures to adhere to requirements under the Anti-Money Laundering, Countering Financing of Terrorism and Targeted Financial Sanctions for Financial Institutions Policy Document. These regulatory actions reflect the heightened scrutiny placed on financial and corporate entities, reinforcing the need for robust compliance measures, especially in sectors exposed to cross-border transactions. Guok stressed that proper record-keeping may constitute a key line of defence should a company come under investigation for alleged money laundering or involvement in unlawful activities. 'BNM has the authority to conduct annual checks on such entities to ensure compliance with AMLA regulations,' he said. When asked whether litigants may obtain court orders through pre-action discovery or the Norwich Pharmacal process, Guok explained that such orders are available to parties seeking disclosure from individuals or entities not directly involved in the anticipated proceedings. He noted that Norwich Pharmacal orders permit a litigant to compel a third party, who is not itself implicated in the alleged wrongdoing but is mixed up in it innocently, to disclose information necessary to identify or pursue the actual wrongdoer. 'However, the court must balance such applications to prevent any form of abuse or 'fishing expeditions', particularly in light of, among other considerations, the principle of banker-client privilege. 'It is sometimes crucial for clients to obtain documents from banks, especially in cases where suspicious transactions have been traced to accounts held by corporations later found to be involved in fraudulent activities,' he said. He said the only viable means for victims to substantiate such transactions is by obtaining the relevant documentation, which may be instrumental in identifying the mechanisms or systems employed to facilitate the fraudulent activity. Commenting on the Bankers' Books (Evidence) Act 1949 (BBEA), Guok noted that while Section 6 restricts the compellability of bank officers to produce bankers' books where the bank is not a party to the proceedings, the court nonetheless retains the discretion to issue such an order where appropriate. 'The court must balance the interests of banker-client confidentiality against the issues in the particular suit before making appropriate orders. 'While some discovery applications may be deemed an abuse of process, others are genuine, especially when litigants require documents from banks to trace the money trail in their cases,' he added.
The Sun
05-06-2025
- Business
- The Sun
Businesses engaged in foreign transactions must exercise heightened diligence under AMLA
KUALA LUMPUR: Malaysian business owners engaged in international transactions are advised to maintain comprehensive records and promptly report any suspicious activity to Bank Negara Malaysia (BNM) to ensure compliance with the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001(AMLA). Lawyer Guok Ngek Seong, who has nearly 25 years of experience in civil and criminal litigation, told Bernama that companies operating in high-risk sectors such as maritime, petroleum and logistics, which frequently conduct foreign exchange transactions, must exercise heightened diligence in documenting their operations. He was speaking on the matter in light of recent actions taken by BNM, which imposed administrative monetary penalties amounting to RM4.95 million on several financial institutions for breaches of statutory and regulatory obligations. The penalties involved non-compliance with provisions under the Development Financial Institutions Act 2002 as well as failures to adhere to requirements under the Anti-Money Laundering, Countering Financing of Terrorism and Targeted Financial Sanctions for Financial Institutions Policy Document. These regulatory actions reflect the heightened scrutiny placed on financial and corporate entities, reinforcing the need for robust compliance measures, especially in sectors exposed to cross-border transactions. Guok stressed that proper record-keeping may constitute a key line of defence should a company come under investigation for alleged money laundering or involvement in unlawful activities. 'BNM has the authority to conduct annual checks on such entities to ensure compliance with AMLA regulations,' he said. When asked whether litigants may obtain court orders through pre-action discovery or the Norwich Pharmacal process, Guok explained that such orders are available to parties seeking disclosure from individuals or entities not directly involved in the anticipated proceedings. He noted that Norwich Pharmacal orders permit a litigant to compel a third party, who is not itself implicated in the alleged wrongdoing but is mixed up in it innocently, to disclose information necessary to identify or pursue the actual wrongdoer. 'However, the court must balance such applications to prevent any form of abuse or 'fishing expeditions', particularly in light of, among other considerations, the principle of banker-client privilege. 'It is sometimes crucial for clients to obtain documents from banks, especially in cases where suspicious transactions have been traced to accounts held by corporations later found to be involved in fraudulent activities,' he said. He said the only viable means for victims to substantiate such transactions is by obtaining the relevant documentation, which may be instrumental in identifying the mechanisms or systems employed to facilitate the fraudulent activity. Commenting on the Bankers' Books (Evidence) Act 1949 (BBEA), Guok noted that while Section 6 restricts the compellability of bank officers to produce bankers' books where the bank is not a party to the proceedings, the court nonetheless retains the discretion to issue such an order where appropriate. 'The court must balance the interests of banker-client confidentiality against the issues in the particular suit before making appropriate orders. 'While some discovery applications may be deemed an abuse of process, others are genuine, especially when litigants require documents from banks to trace the money trail in their cases,' he added.
The Sun
29-05-2025
- Business
- The Sun
Transparency in banking vital to combat fraud, build trust, says legal expert
KUALA LUMPUR: Consistent and transparent disclosure of internal compliance information by banks—particularly in cases involving suspicious cross-border remittances—is key to boosting corporate confidence in Malaysia's financial system, said legal expert Datuk J. Shamesh. He said pre-action discovery mechanisms, increasingly recognised by Malaysian courts, are playing a pivotal role in compelling financial institutions to disclose crucial documents that could help uncover fraudulent transactions. 'Legal tools such as the Norwich Pharmacal relief and Order 24 Rule 7A of the Rules of Court 2012 allow aggrieved parties to seek access to a bank's internal documents—even before initiating formal legal proceedings—especially in cases involving potential fraud, money laundering or questionable transfers,' said Shamesh. Speaking to Bernama, the lawyer also highlighted that while these tools are not intended to implicate the bank, they enable access to records that may assist in identifying wrongdoers or enforcing legal rights. The corporate lawyer cited the case of First Malaysia Finance Bhd v Dato' Mohd Fathi Haji Ahmad [1993] 3 CLJ 329, in which the court endorsed the Norwich Pharmacal principle, ruling that a third party, such as a bank, can be ordered to disclose information if it is innocently mixed up in potential wrongdoing. Shamesh explained that this decision confirms that compliance records, anti-money laundering (AML) frameworks, internal alerts, and audit trails can be disclosed when legitimate legal interests are at stake. He further noted that courts may issue disclosure orders when there is evidence of fraud, financial misconduct, the use of third-party accounts for illicit fund transfers, suspected breaches of internal compliance policies, or money laundering activities involving cross-border transactions. 'These disclosures are especially important when doubts arise about a bank's internal controls or when red flags are raised during due diligence,' he added. Shamesh stressed that consistent and transparent cooperation by banks in such proceedings could significantly strengthen trust among corporate clients. 'Corporates want assurance that financial institutions will support legitimate investigations and are not safe havens for questionable remittances,' he said. However, he cautioned that resistance or selective disclosure by banks could backfire, potentially undermining public and corporate confidence in the sector's commitment to transparency. 'If applied consistently, these disclosure practices not only reinforce governance and compliance standards but also send a strong message that banks are active partners in the fight against financial crime,' he said.
