51 Legal Profession (e) he is absent from three consecutive meetings of the Bar Council without reasonable cause and the Bar Council resolves that he be removed from office. Powers of the Council Powers and acts of Bar Council 56.  The management of the Malaysian Bar and of its funds shall be vested in the Bar Council; and all the powers, acts or things which are not by this Act expressly authorized, directed or required to be exercised or done by the Malaysian Bar in general meeting may, subject to this Act or any rules made thereunder or any resolution passed from time to time by the Malaysian Bar in general meeting, be exercised or done by the Bar Council: Provided that no such resolution of the Malaysian Bar shall invalidate the previous exercise of any powers or the previous doing of any act or thing by the Bar Council which would have been valid if the resolution had not been passed. Specific powers of the Bar Council 57.  Without prejudice to the general powers conferred by section 56 or the specific powers to make rules conferred by any other provisions of this Act the Bar Council shall have power-- (a) to make rules to provide for all matters not expressly reserved to the Malaysian Bar in general meeting whether the same be expressed amongst its powers or not; (b) to answer questions affecting the practice and etiquette of the profession and the conduct of members; (c) to take cognizance of anything affecting the Malaysian Bar or the professional conduct of its members and to bring before any general meeting of the Malaysian Bar any matter which it considers material to the Malaysian Bar or to the interests of the profession and to make any recommendations and take any action as it considers fit in relation thereto; (d) to examine and if it considers fit to report upon current or proposed legislation and any other legal matters; Laws of Malaysia 52 ACT 166 (e) to represent members of the Malaysian Bar or any section thereof or any particular member in any matter which may be necessary or expedient; (f) with the prior approval of the Malaysian Bar in general meeting, to award prizes and scholarships for students of law and to lay down the conditions for their award; (g) to appoint officers, clerks, agents and servants for permanent, temporary or special services as it may from time to time consider fair and reasonable and to determine their duties and terms of service; (h) to purchase, rent or otherwise acquire and furnish suitable premises for the use of the Malaysian Bar; (i) to communicate from time to time with other similar bodies and with members of the profession in other places for the purpose of obtaining and communicating information on all matters likely to be beneficial or of interest to members; (j) to institute, conduct, defend, compound or abandon any legal proceedings by and against the Malaysian Bar or its officers or otherwise concerning the affairs of the Malaysian Bar and to compound and allow time for payment or satisfaction of any debts due or of any claims or demands made by or against the Malaysian Bar; (k) to invest and deal with any moneys of the Malaysian Bar from time to time in securities authorized for the investment of trust funds by any written law; (l) from time to time to borrow or raise money by bank overdraft or otherwise by the issue of debentures or any other securities founded or based upon all or any of the property and rights of the Malaysian Bar or without any such security and upon such terms as to priority or otherwise as the Bar Council shall consider fit; and (m) to exercise all such powers, privileges and discretions as are not by this Act expressly and exclusively required to be exercised by the members of the Malaysian Bar in general meeting. 53 Legal Profession Appointment of Committees 58. (1) The Bar Council may appoint one or more committees for any general or special purpose as in the opinion of the Bar Council may be better regulated or managed by means of a committee and the Bar Council may delegate to any committee so appointed, with or without restrictions or conditions, the exercise of any functions of the Bar Council. (2) The number and term of office of the members of a committee appointed under this section, and the number of these members necessary to form a quorum, shall be fixed by the Bar Council and unless so fixed shall not be less than three. (3) A committee appointed under this section may include persons who are not members of the Bar Council. (4) The Bar Council shall not delegate to a committee appointed under this section any of its functions unless at least two thirds of the members of the committee (including the Chairman thereof) are members of the Council. Rights to inspect file and copies of proceedings in bankruptcy 59.  The Bar Council shall be entitled, without payment of any fee, to inspect the file of proceedings in bankruptcy relating to any advocate and solicitor against whom proceedings in bankruptcy have been taken, and to be supplied with office or certified copies of the proceedings on payment of the usual charge for such copies. Power of Bar Council to accept gifts 60. (1) The Bar Council may on behalf of the Malaysian Bar accept by way of grant, gift, testamentary disposition or otherwise property or moneys in aid of the finances or purposes of the Malaysian Bar on such conditions as the Bar Council may determine. (2) Registers shall be kept of all donations to the Malaysian Bar including the names of donors and any special conditions on which any donation has been given. (3) All property, moneys or funds donated to the Malaysian Bar for any specific purposes shall, subject to the law relating to Laws of Malaysia 54 ACT 166 charities, be applied and administered in accordance with the purposes for which they have been donated and shall be separately accounted for. Representation in court 61.  The Malaysian Bar may be represented or appear in any court by any advocate and solicitor whether he is a member of the Bar Council or not. Proceedings of the Bar Council Meeting of the Council 62. (1) The Bar Council may decide to call a meeting at any time and place and as often as may be necessary, and the Chairman of the Bar Council may on his own or at the request in writing of not less than one half of its members call an emergency meeting of the Bar Council to consider any urgent matter. (2) Nine members personally present at any meeting of the Bar Council shall constitute a quorum for the transaction of any business. (3) A decision of the majority of the members of the Bar Council present and voting at any meeting of the Bar Council shall be deemed to be a decision of the Bar Council. (4) At any meeting of the Bar Council the Chairman shall have a casting vote. (5) Subject to any rules of the Malaysian Bar, the Bar Council may regulate its own proceedings and in particular the holding of meetings, the notice to be given of any meetings, the proceedings at the meeting, the keeping of minutes and the custody, production and inspection of the minutes. Expenses of members 63.  No fees shall be paid to any member of the Bar Council but a member may be reimbursed from the funds of the Malaysian Bar for travelling expenses incurred by him in relation to the affairs of the Malaysian Bar. 55 Legal Profession General Meeting of the Malaysian Bar Annual general meetings 64. (1) The Bar Council shall each year convene an annual general meeting of the Malaysian Bar to be held before the first day of April. (2) The Bar Council shall cause to be prepared and presented to the annual general meeting-- (a) a report on the activities of the Malaysian Bar during its term of office; and (b) proper accounts, duly audited, of all funds, property and a s s e t s of the Malaysian Bar for the twelve months terminating on the 31 day of December immediately preceding such general meeting. General meeting 65. (1) The Bar Council may convene a general meeting of the Malaysian Bar other than the annual general meeting at any time the Bar Council considers it necessary or expedient. (2) Any fifty members of the Malaysian Bar may at any time requisition a general meeting by written notice in that behalf signed by them and served on the President, Vice-President or the Secretary of the Malaysian Bar; and the Bar Council shall convene a general meeting to be held within thirty days of such service. (3) The written notice shall specify the object or objects of the proposed meeting. (4) If the Bar Council fails to convene a general meeting in accordance with the requisition within thirty days of the service of such requisition, the requisitioning members may convene the general meeting within sixty days of such service. (5) If any member of the Malaysian Bar desires to propose any motion to be considered at the annual or other general meeting to be convened under this section, he shall not less than seven days before the date of the meeting serve upon the Secretary of the Malaysian Bar notice of such motion in writing. Laws of Malaysia 56 ACT 166 Voting 66.  At every general meeting other than an annual general meeting, every member present shall have one vote and the Chairman of that meeting shall have a casting vote. Quorum 67. (1) The quorum for a general meeting of the Malaysian Bar shall be one-fifth of the total number of members of the Malaysian Bar personalIy present of any greater number as shall be provided under any rules made pursuant to paragraph 42(2)(d); and no business shall be transacted at any general meeting unless a quorum is present when the meeting proceeds to business. (2) Any general meeting, whether convened on the requisition of members pursuant to subsection 65(2) or convened pursuant to subsection 65(4), shall be dissolved if a quorum is not present within half an hour from the time appointed for holding the meeting. (3) Any question at a general meeting of the Malaysian Bar shall be decided by the votes of not less than two-thirds of the members present and voting. State Bar Committee Combined Bar - State Bar Committee 68. (1) In this Part-- "combined Bar" means a State Bar which combines all the members in any two or more States and recognized as such under section 69. (2) For the purpose of this Part, a member of the State Bar is deemed to be practising in a State if he ordinarily practises in that State. The opinion of the State Bar Committee shall be prima facie evidence that the member ordinarily practises in the State. (3) A member may ordinarily practise in more than one State and all members practising in the Federal Territory shall be deemed to be members of the Selangor State Bar. 57 Legal Profession (4) Members practising in the Federal Territory of Kuala Lumpur shall be entitled to establish a separate bar for the Federal Territory of Kuala Lumpur to be known as the Kuala Lumpur Bar. The decision to have a separate bar shall be made by a majority vote of the members present at a general meeting called for this purpose. (5) At the time of establishment of the Kuala Lumpur Bar any member who had paid the annual subscription for that calendar year to the Selangor State Bar Committee shall not be required to pay a second annual subscription for the same year to the Kuala Lumpur Bar Committee. (6) The assets of the Selangor State Bar, which is commonly known as the Selangor and Federal Territory Bar, shall, upon establishment of the Kuala Lumpur Bar, be apportioned between the Selangor State Bar and the Kuala Lumpur Bar in the proportions that their respective memberships bear to the membership of the former combined Bar. Combination of members as State Bar 69.  The combination of any ten or more members in a State or of any ten or more members in two or more States for the purposes of Part IV of the Ordinance shall be recognized as a State Bar for the purposes of this Act provided that not less than ten of the members representing the State Bar have been practising in the relevant State or States for the whole of the period of the twelve months immediately before the coming into operation of this Act. Annual general meeting of State Bar 70. (1) The Secretary of each State Bar shall, before the first day of March in each year, summon all members of the State Bar to an annual general meeting to be held in that month at a time and place to be fixed by him. Only members of the State Bar shall be entitled to attend and vote at the meeting. (1A) The State Bar Committee shall cause to be prepared and presented to the annual general meeting-- (a) a report on the activities of the State Bar during its term of office; and Laws of Malaysia 58 ACT 166 (b) proper accounts, duly audited, of all funds, property and assets of the State Bar for the twelve months ending on the 31 day of December immediately preceding such general meeting. (2) At every annual general meeting, the Chairman of the State Bar Committee shall preside and in his absence the most senior member present who is willing to preside shall preside, and the quorum shall be one-third of the total number of members of the State Bar. If a quorum is not present within half an hour from the time appointed for holding the meeting it shall stand adjourned to the same day in the week next following at the same time and place unless otherwise notified to members by the State Bar Committee. (3) Any question at that meeting shall be decided by the votes of not less than two-thirds of the members present and voting and the presiding member shall have a casting vote. (4) The meeting shall elect from among the members of the State Bar a Chairman and not less than four and not more than six members to form the State Bar Committee. (5) The Chairman and the members of the Committee so elected shall hold office until the conclusion of the next annual general meeting of the State Bar. (6) Every State Bar Committee shall appoint a Secretary who shall be a Member of the State Bar. (7) After the election of the State Bar Committee the meeting shall elect one member of the State Bar (who need not be a member of the State Bar Committee) to represent the State Bar on the Bar Council: Provided that where the Chairman of the State Bar Committee elected pursuant to subsection (4) is also the current President or Vice-President of the Malaysian Bar, the meeting shall elect two members instead of one under this subsection. (7A) If for any reason a member elected under subsection (7) vacates office, the State Bar Committee shall appoint another member of the State Bar to take his place and the member so appointed shall hold office for the remainder of the term of office of the member he replaces. 59 Legal Profession (8) The Chairman of the State Bar Committee shall inform the Registrar and the Secretary of the Malaysian Bar the names of the persons elected and appointed as Chairman, members and Secretary respectively of the State Bar Committee and of the persons elected as representatives of the State Bar on the Bar Council. (9) The Secretary of the Malaysian Bar shall, in the month of October in each year send to all Assistant Registrars in each State a list of all the representatives elected to represent the State Bars on the Bar Council; and the lists shall be made available for inspection by all members without charge. General meeting of State Bar 70A. (1) Every State Bar Committee may convene a general meeting of the State Bar other than the annual general meeting at any time the Bar Committee considers it necessary or expedient. (2) The quorum at every such meeting shall be one-third of the total members of the State Bar. (3) Any ten members of the State Bar or one-third of the members of the State Bar whichever shall be the greater may at any time requisition a general meeting by written notice in that behalf signed by them and served on the Chairman or the Secretary of the State Bar Committee and the State Bar Committee shall convene a general meeting to be held within thirty days of such service. (4) The written notice shall specify the object or objects of the proposed meeting. (5) If the State Bar Committee fails to convene a general meeting in accordance with the requisition within thirty days of the service of such requisition, the requisitioning members may convene the general meeting within sixty days of such service. (6) Any general meeting convened under subsection (3) or (5) shall be dissolved if a quorum is not present within half an hour from the time appointed for holding the meeting. (7) At every general meeting every member present shall have one vote and the Chairman of that meeting shall have a casting vote. Laws of Malaysia 60 ACT 166 (8) Any question at the meeting shall be decided by not less than two-thirds of the members present and voting. Severance of combined Bar 71. (1) Where the number of members in each of the States forming a combined Bar exceeds ten, the members of the Bar of a State may, at any general meeting called for the purpose, pass by a majority of the members present and voting a resolution that such combined Bar be severed. (2) One month after the passing of such resolution, the combined Bar shall be severed, and the members in each of the States forming the combined Bar shall thereafter form a separate State Bar. (3) The chairman of the meeting referred to in subsection (1) shall report the passing of any resolution to the Registrar and to the Bar Council. (4) Where the number of members in one of the State forming a combined Bar does not exceed ten, the members of the Bar of that state may sever themselves from the members of the Bar of the other State if-- (a) the number of members in the other State exceeds ten; and (b) the members of the Bar of the first-mentioned State have found another State the members of whose Bar have expressed their willingness by a vote of a simple majority of their members at a general meeting to combine with the members of the Bar of the first-mentioned State. (c) (Deleted by Act A567). (5) Subsections (2) and (3) shall apply mutatis mutandis to a severance of a combined Bar effected pursuant to subsection (4). (6) Where severance takes place pursuant to this section, the assets of the former combined Bar shall be apportioned as provided in subsection (6) of section 68 mutatis mutandis. 61 Legal Profession Meeting of the State Bar Committee 72. (1) Each State Bar Committee shall meet at such time and place as the Chairman may appoint. (2) Each State Bar Committee shall regulate its proceedings in any manner that it considers fit; except that the quorum shall not be less than three members personally present: Provided that a resolution circulated and signed by not less than three members or all the members present in Malaysia whichever is the greater at the date of the passing of the resolution shall be deemed to have been passed at a properly constituted meeting of the State Bar Committee. Powers of the State Bar Committee Each State Bar Committee shall have the following powers: 73. (i) to levy subscriptions from its members of an amount not exceeding in any one year one hundred ringgit from each member unless it has been agreed to by the State Bar C o m m i t t e e at its annual general meeting that the subscription shall be in excess of one hundred ringgit; and subscriptions shall be payable in each year to the appropriate State Bar Committee by each advocate and solicitor by the 30 day of June; (ii) to promote and safeguard the interests of advocates and solicitors who are members of the State Bar; (iii) to make appropriate representations to the Malaysian Bar upon matters concerning the State Bar; (iv) to entertain and deal with such matters as may from time to time be referred to it either generally or specifically by the Bar Council or the State Bar in general meeting; (v) to provide amenities for and generally to promote the welfare of members of the State Bar; (vi) to inquire into and proceed with any complaint of the conduct of an advocate and solicitor in his professional capacity or of any pupil or articled clerk under Part VII; Laws of Malaysia 62 ACT 166 (vii) to co-opt as members of the Committee not more than two members of the State Bar who shall have no right to vote at any meeting of the Committee. Fees not allowed to State Bar Committee 74.  No fees shall be paid to any member of a State Bar Committee, except for any travelling expenses incurred by any member of the State Bar Committee. Such expenses may with the approval of the State Bar Committee, be reimbursed to the member from the funds of that Committee. Casual vacancy 75. (1) Any casual vacancy in a State Bar Committee shall be filled by the continuing members of the State Bar Committee by the appointment of a member of the State Bar concerned and any member so appointed shall hold office for the remainder of the term of office of the member he replaces. (2) Notwithstanding any vacancy in the State Bar Committee the continuing members of the Committee may act if there is a quorum; and no act done by or under the authority of the State Bar Committee shall be invalid in consequence of any defect subsequently discovered in the election or qualification of the members or any of them. General Names of Council and Committee members to be published in the Gazette 76. (1) The names of the members of the Bar Council and of the Secretary of the Malaysian Bar and of the Chairman and members of the State Bar Committees and of the Secretaries appointed by them including that of any persons appointed to fill any vacancies shall be published in the Gazette. (2) Except and in so far as may be necessary for the purpose of giving effect to any resolution passed or decision made, secrecy shall be maintained in all proceedings conducted by the Bar Council, the State Bar Committee, the *Inquiry Committee and their staff. *Note: See note on "Disciplinary Committee" or `Inquiry Committee' in paragraph 33(1)(d). 63 Legal Profession PART VI PROFESSIONAL PRACTICE, ETIQUETTE, CONDUCT AND DISCIPLINE OF ADVOCATE AND SOLICITOR AND CLERKS Power to make rules regulating practice, etc. 77. (1) Without prejudice to any other power to make rules provided under this Act, the Bar Council may, with the approval of the Attorney General make rules for regulating the professional practice, etiquette, conduct and discipline of advocates and solicitors. (2) Any rules made pursuant to this section shall not come into operation until they have been published in the Gazette. (3) Any advocate and solicitor who fails to comply with any r u l e s made under this section may be liable to disciplinary proceedings. (4) The Attorney General may, by order published in the Gazette, make such modifications as he deems necessary to any rules made and published under this section before the coming into operation of this subsection. Power to make particular rules 78. (1) The Bar Council shall make rules-- (a) providing for the opening and keeping by advocates and solicitors of accounts at banks for clients' moneys; (b) providing for the keeping by advocates and solicitors of accounts containing particulars and information as to moneys received, held or paid by them for or on account of their clients; and (c) empowering the Bar Council to take such action as may be necessary to enable it to ascertain whether or not the rules are being complied with. (2) The Bar Council shall also make rules-- (a) providing for the opening and keeping by every advocate and solicitor who is a sole trustee, or who is co-trustee with one or more of his partners, clerks or servants, of an account at a bank for moneys of any trust of which he is such a sole trustee or co-trustee; Laws of Malaysia 64 ACT 166 (b) providing for the keeping by every such advocate and solicitor of accounts containing particulars and information as to moneys received, held or paid by him for or on account of any such trust; and (c) empowering the Bar Council to take such action as may be necessary to enable it to ascertain whether or not the rules are being complied with. (3) (a) Rules made under this section shall make provision for requiring an advocate and solicitor, in such cases as may be prescribed by the rules, either-- (i) to keep on deposit in a separate account at a bank for the benefit of the client moneys received for or on account of a client if the client should so request; or (ii) to make good to the client out of his own moneys a sum equivalent to the interest which would have accrued if the moneys so received had been so kept on deposit. (b) Except as provided by any rules made pursuant to this section, an advocate and solicitor shall not be liable by virtue of the relation between advocate and solicitor and client to account to any client for interest receive by him on moneys deposited at a bank being moneys received or held for or on account of his clients generally. (c) Nothing in this subsection, or in any rules made pursuant to this section, shall-- (i) affect any arrangement in writing, whenever made, between an advocate and solicitor and his client as to the application of the client's moneys or interest thereon; (ii) apply to moneys received by an advocate and solicitor being moneys subject to a trust of which he is a trustee. (4) Any rules made pursuant to this section shall not come into operation until they have been published in the Gazette. (5) Disciplinary proceedings may be taken against any advocate and solicitor who fails to comply with any rules made under this section. 65 Legal Profession (6) In this section, the words "trust" and "trustee" extend to implied and constructive trusts and to cases where the trustee has a beneficial interest in the trust property and to the duties incident to the office of a personal representative, and "trustee", where the context admits, includes a personal representative. Power to make rules on professional indemnity 78A. (1) The Bar Council may, with the approval of the Attorney General, make rules concerning the taking out of professional indemnity for advocates and solicitors against any class of professional liability and the rules may for the purpose of providing such indemnity do all or any of the following: (a) authorize the Bar Council to take out and maintain insurance in the name of the Malaysian Bar with any person permitted by law to carry on professional liability insurance business or pecuniary loss insurance business and covering every practising advocate and solicitor; (b) authorize the Bar Council to establish and maintain a fund for the aforesaid purpose; or (c) require advocates and solicitors to take out and maintain insurance. (2) Without prejudice to the generality of subsection (1), rules made under this section may-- (a) specify the terms and conditions on which professional indemnity is to be available; (b) provide for the management, administration and protection of any fund established under subsection (1) and require advocates and solicitors to make payments to any such fund; (c) require advocates and solicitors to make payments by way of premiums on any policy taken out under subsection (1) and provide for proceedings by the Malaysian Bar or its insurers against any advocate and solicitor who fails to do so for recovery of the appropriate premiums; (d) prescribe the conditions which an insurance policy must satisfy for the purpose of paragraph (1)(c); Laws of Malaysia 66 ACT 166 (e) authorize the Bar Council to determine the amount of any payment required by the rules; (f) specify the circumstances in which where an advocate and solicitor has failed to comply with the rules, proceedings in respect of any sum paid by way of indemnity may be taken against him by the Malaysian Bar or its insurers; (g) prescribe that an advocate and solicitor shall not be entitled to a Sijil Annual unless he is insured as required by the rules for the period to which the Sijil Annual relates; (h) empower the Bar Council to take such steps as it considers necessary or expedient to ascertain and ensure that the rules are complied with; and (i) contain such procedural, incidental or other provisions as may be necessary or expedient for the purposes of the rules. (3) Nothing in this section shall affect the right of any advocate and solicitor, in addition to the indemnity provided in the rules made under this section, to insure himself further against loss arising from such claims as may be instituted against him. (4) Any rules made under this section shall not come into operation until they have been published in the Gazette. Advocate and solicitor to deliver accountant's report 79. (1) Every advocate and solicitor shall, unless exempted by the Bar Council, deliver to the Secretary of the Malaysian Bar with every application made by him for a Sijil Annual a report signed by an accountant, referred to as an "accountant's report" in this section. (2) The accountant's report shall-- (a) state that the accountant in compliance with this section and any rules made thereunder has examined the books, accounts and documents of the firm of the advocate and solicitor for such accounting period as may be specified in the report; 67 Legal Profession (b) state whether or not the accountant is satisfied, from his e x a m i n a t i o n of the books, accounts and documents produced to him and from the information and explanations given to him, that during the said accounting period of the advocate and solicitor or his firm has complied with any rules made under subsection 78(1); (c) state, if the accountant is not satisfied, the matters in respect of which he is not so satisfied; (d) contain such information as may be prescribed by rules made by the Bar Council under this section; and (e) be delivered to the Secretary of the Malaysian Bar not more than twelve months (or such other period as may be prescribed by rules made under this section) after the end of the accounting period specified in the report. (3) Subject to any rules made under this section, the accounting period for the purposes of an accountant's report shall-- (a) begin at the expiry of the last preceding accounting period for which an accountant's report has been delivered or from the date the advocate and solicitor commenced practice as the case may be; (b) cover not less than twelve months; (c) terminate not more than twelve months before the date on which the report is delivered to the Bar Council; and (d) where possible, consistent with paragraphs (a), (b) and (c), correspond to a period or consecutive periods for which the accounts of the advocate and solicitor or his firm are ordinarily made up. (4) In this section "accountant" means an approved company auditor as defined in the Companies Act, 1965 [Act 125]. If in any particular case there shall not be an approved company auditor practising in the State in which an advocate and solicitor ordinarily practises and the Bar Council shall be of the view that by reason of the difficulty or expense involved in securing the services of an approved company auditor from outside such State it would be unreasonable to expect the advocate and solicitor to secure his service, the Bar Council may approve any other auditor whom it shall consider competent for the purposes of this section. Laws of Malaysia 68 ACT 166 (5) The Bar Council shall make rules to give effect to this section and without prejudice to the generality of the foregoing such rules shall prescribe the nature and extent of the examination to be made by the accountant of the books and accounts of the firm of an advocate and solicitor and of any other relevant documents with a view to the preparation of the report to be delivered by the advocate and solicitor under this section. (6) Any such rules may include provisions for-- (a) permitting in any special circumstances as may be defined in the rules a different accounting period from that specified in subsection (3); and (b) regulating any matters of procedure or matters incidental, ancillary or supplemental to this section. (7) Any rules made by the Bar Council under this section shall not come into operation until they have been published in the Gazette. (8) Any advocate and solicitor who fails to comply with this section or any rules made thereunder may be liable to disciplinary proceedings. Compensation Fund Compensation Fund 80. (1) The Malaysian Bar shall maintain and administer in accordance with this section a fund to be known as the "Compensation Fund". (2) Every advocate and solicitor shall on each occasion he applies for a Sijil Annual pay to the Malaysian Bar a contribution of such sum as the Bar Council may from time to time determine and the Malaysian Bar shall pay that contribution into the Fund: Provided that an advocate and solicitor who applies for a Sijil Annual shall be required to pay only half the contribution so determined if the practising certificate for which he proposes to apply is valid for less than six months. 69 Legal Profession (3) The Malaysian Bar may invest any moneys out of the Fund which are not immediately required for any other purposes and, for the purposes of this section, the Malaysian Bar shall have all the powers of trustees under any written law. (4) The Malaysian Bar may for the purposes of the Fund borrow from any lender and may charge any investments of the Fund by way of security for such loan. (4A) The Bar Council may, for such of the purposes of the Malaysian Bar as the Bar Council deems fit, borrow moneys from the Fund and shall, in respect of any money so borrowed, pay to the Fund interest at the prime rate laid down by the Association of Banks in Malaysia, prevailing from time to time. (5) The Malaysian Bar may insure the Fund with any registered insurance business in Malaysia for any purpose and on any terms as the Malaysian Bar may consider expedient. (6) These shall be carried to the credit of the Fund-- (a) all annual contributions paid to the Malaysian Bar in pursuance of subsection (2); (b) all interests, dividends and other income or accretions of capital arising from the investments of the Fund; (c) the proceeds of any realization of any investments of the Fund; (d) all moneys borrowed for the purposes of the Fund; (e) all sums received by the Malaysian Bar under any insurance effected by the Malaysian Bar under subsection (5); and (f) any other moneys which may belong or accrue to the Fund or be received by the Bar Council in respect of the Fund. (7) All moneys from time to time forming part of the Fund and all investments of the Fund shall be applicable-- (a) for payment of any costs, charges and expenses of establishing, maintaining and administering the Fund; Laws of Malaysia 70 ACT 166 (b) for payment of any costs, charges and expenses of the Bar Council in ascertaining whether the rules made under section 78 have been complied with, pursuant to the powers given by such rules; (c) for payment of any premiums on insurance effected by the Malaysian Bar under subsection (5); (d) for repayment of any moneys borrowed by the Malaysian Bar and for payment of interest on any moneys so borrowed; (e) for payment of any grants which the Malaysian Bar may make under subsection (8); and (f) for payment of any other sums payable out of the Fund by virtue of this section. (8) Where it is proved to the satisfaction of the Bar Council that any person has sustained loss in consequence of dishonesty on the part of any advocate and solicitor or any clerk or servant of an advocate and solicitor in connection with that advocate and solicitor's practice in Malaysia as an advocate and solicitor, or in connection with any trust of which that advocate and solicitor is a trustee, then subject to this section, the Malaysian Bar may, if the Bar Council thinks fair and reasonable, makes a grant to that person out of the Fund for the purpose of relieving or mitigating that loss. (8A) If in any year there has been neither an application made for a grant from the Fund nor a grant made from the Fund, the Bar Council may in its discretion transfer from the Fund all interests, dividends and other accretions of capital arising from the Fund, or any part thereof, to a Fund of the Malaysian Bar established for the purposes of purchasing or maintaining a library for the use of members of the Malaysian Bar. (9) A grant may be made under this section whether or not the advocate and solicitor had a valid practising certificate when the act of dishonesty was committed, and notwithstanding that subsequent to the commission of the act the advocate and solicitor has died or had his name removed from or struck off the Roll or has ceased to practise or been suspended from practice. 71 Legal Profession (10) On any grant made by the Malaysian Bar under this section to any person in respect of any loss-- (a) the Malaysian Bar shall to the extent of the amount of the grant be subrogated to all such rights and remedies as the person to whom the grant is made may be against the advocate and solicitor, clerk or servant in respect of the loss; (b) the person to whom the grant is made shall have no right by way of bankruptcy or other legal proceedings or otherwise to receive any sum out of the assets of the advocate and solicitor, clerk or servant in respect of the loss until the Fund has been reimbursed with the full amount of the grant. (11) Reference in paragraphs (10)(a) and (b) to the person to whom the grant is made or to the advocate and solicitor, clerk or servant shall include, in the event of this death, insolvency or other disability, reference to his personal representatives or any other person having authority to administer his estate. (12) The Bar Council may make rules in respect of the procedure to be followed in giving effect to this section and in respect of any matters incidental, ancillary or supplemental thereto or concerning the administration or protection of the Fund. (13) The income derived from the Compensation Fund shall be exempted from income and all other taxes, and the Fund shall be an institution approved for the purposes of section 45 of the Income Tax Act 1967 [Act 53] payments to which shall be good deductions for income tax purposes in arriving at the aggregate income of the person making the payment for the relevant year. Advocate and solicitor shall not act as commissioner or notary without certificate 81.  No advocate and solicitor who is a commissioner for oaths or a notary public shall do any act as such commissioner or notary, as the case may be, unless he has a valid practising certificate. Laws of Malaysia 72 ACT 166 Advocate wilfully and knowingly acting as agent 82. (1) No advocate and solicitor shall wilfully and knowingly act as agent in any legal proceedings of any kind or in any matter which under this Act can be done only by an advocate and solicitor who has a valid practising certificate for another advocate and solicitor who does not have a valid practising certificate or permit his name to be made use of in any such proceedings or matter on the account or for the profit of such other advocate and solicitor or send any process to such other advocate and solicitor or do any other act enabling such advocate and solicitor to appear, do, practise or purport to practise as an advocate and solicitor in any such proceedings or matter. (2) No advocate and solicitor shall authorize any unauthorized person to operate any bank account in his name or in the name of his firm and maintained by him or his firm in connection with his practice as an advocate and solicitor. (3) Any advocate and solicitor who has acted in contravention of subsection (1) or (2) may be liable to disciplinary proceedings. (4) Any unauthorized person who acts or practises or purports to practise as an advocate and solicitor shall be guilty of an offence and shall on conviction be liable to a fine not exceeding two thousand ringgit or to imprisonment for a term not exceeding one year or to both. Advocate and solicitor not to employ undischarged bankrupt 83. (1) No advocate and solicitor shall, in connection with his practice, without the consent of the court obtained on an application by originating summons served upon the Attorney General and upon the Malaysian Bar, employ or remunerate any person who to his knowledge is an undischarged bankrupt or has been-- (a) struck off the Roll otherwise than at his own request in any part of Malaysia or in Singapore or elsewhere and remains struck off; (b) suspended from practising as an advocate and solicitor in any part of Malaysia or in Singapore or elsewhere and remains suspended; 73 Legal Profession (c) convicted of an offence involving dishonesty or fraud or has been found guilty of an offence under the Prevention of Corruption Act 1961 [Act 57]; (d) convicted of an offence under section 15A of the Minor Offences Act 1955 [Act 336] or under this Act; (e) a person in respect of whom an order under subsection (2) has been made; or (f) employed as a public officer: Provided that paragraph (f) shall not apply to any public officer who is an advocate and solicitor or a qualified person. (2) On application made by or on behalf of the Attorney General of the Malaysian Bar, the Court may make an order directing that, as from a date to be specified in the order, no advocate and solicitor shall in connection with his practice employ or remunerate any person who-- (a) has been a party to any act or default of an advocate and solicitor in respect of which a complaint has been or could have been made against him under this Act; or (b) has so conducted himself whilst employed by an advocate and solicitor that, had he himself been an advocate and solicitor, his conduct might have formed the subject of a complaint against him under this Act. (3) Every application under subsection (2) shall be served not less than ten days before the application is to be heard upon the person in respect of whom it is made and upon his employer or previous employer who is an advocate and solicitor. (4) Every order made under subsection (2) shall be filed in a file to be kept for this purpose by the Registrar which may be inspected by any advocate and solicitor without fee. (5) Before an advocate and solicitor employs or remunerates any person (other than an advocate and solicitor or a qualified person) in connection with his practice as such, he shall require that person to make a statutory declaration stating that he is not an undischarged bankrupt and that he does not come within the class of persons enumerated in paragraphs (1)(a) to (f) and that he is not a person in respect of whom an order has been made under subsection (2). Laws of Malaysia 74 ACT 166 (6) Any advocate and solicitor who acts in contravention of this section may be liable to disciplinary proceedings. Advocate and solicitor acting for developer not to act for purchaser in housing development 84. (1) Where an advocate and solicitor acts for a housing developer in a sale of immovable property developed under a housing development neither he nor any member or assistant of the firm of which he is a member either as partner or employee shall in the same transaction act for the purchaser of that property, and a written agreement prepared by an advocate and solicitor or any member or assistant of the firm acting for the developer in respect of such transaction shall be scrutinised by an advocate and solicitor acting for the purchaser: Provided that if any such written agreement in respect of the transaction is not scrutinised by an advocate and solicitor acting for the purchaser, the advocate and solicitor acting for the housing developer shall obtain a certificate signed by the Purchaser showing that the Purchaser does not intend to engage an advocate and solicitor to scrutinise the agreement for him. (2) For the purpose of this section a certificate shall not be valid unless it is signed by the Purchaser in the presence of a Commissioner for Oaths who is not an advocate and solicitor practising in partnership with, or as the employee of, the advocate and solicitor acting for the housing developer. (3) The developer and the purchaser shall each pay for the fees of its own advocate and solicitor. (4) In subsection (1)-- (a) the term "housing development" has the meaning assigned to it in the *Housing Development (Control and Licensing) Act 1966 [Act 118]; and (b) "sale of immovable property" includes the grant of a lease for a term exceeding three years. (5) Subsection (1) is without prejudice to any law affecting an advocate and solicitor who acts for parties where there is a conflict of interest or whenever a conflict of interest may arise. *NOTE--Previously referred to as "Housing Developers (Control and Licensing) Act 1966"­See Act A1142. 75 Legal Profession (6) An advocate and solicitor who acts in contravention of subsection (1) may be liable to disciplinary proceedings. (7) Subsection (1) shall not apply to any transaction where the contract for sale was entered into before the coming into operation of this Act. Registrar to maintain register of firm names 85. (1) The Bar Council shall maintain a register of firm names under which advocates and solicitors practise. No firm name shall be registered or struck off the register without a certificate from the Bar Council. The Bar Council may refuse a certificate for registration on the grounds that the proposed firm name is likely to be confused with a registered firm name or is likely to mislead the public. An advocate and solicitor who is dissatisfied with a decision of the Bar Council may appeal to the High Court whose decision shall be final. (2) No person shall practise as an advocate and solicitor under a name that is not-- (a) his own name; (b) the names of advocates and solicitors who are or were his partners; (c) the names of his predecessors whose goodwill he has, or his partners have, acquired; (d) any one or the combination of the names specified in paragraphs (a), (b) and (c). ( 3 ) I n any case where a name which complies with s u b s e c t i o n (2) cannot be registered without contravening subsection (1) then the person may practise under such name as he wishes which is approved by the Bar Council. (4) An advocate and solicitor who acts in contravention of subsection (3) may be liable to disciplinary proceedings. (5) The Bar Council shall, at the request of the partners practising under a firm name, and may, if it is satisfied that no one is practising under that name, remove a firm name from the register. Laws of Malaysia 76 ACT 166 Where solicitor and client relationship exists 86. (1) Where the relationship of advocate and solicitor and client exists, or has existed, a summons may be issued by the client or his representative for the delivery of a cash account, or the payment of moneys, or the delivery of securities. (2) The Court or a Judge may order an advocate and solicitor to deliver to the applicant a list of the moneys or securities which he has in his custody or control on behalf of the applicant, or to bring into court the whole or any part of the same, within such time as the Court or Judge orders. (3) In the event of the advocate and solicitor alleging that he has a claim for costs, the Court or Judge may make such provision for the payment thereof or security therefor or the protection of the advocate and solicitor's lien, if any, as the Court or Judge thinks fair and reasonable. Where money is due from advocate and solicitor to the client 87. (1) If, during the taxation of any bill of costs or the taking of any account between the advocate and solicitor and client, it appears to the Registrar that there are moneys due from an advocate and solicitor to the client, the Registrar may make an interim certificate as to the amount so payable by the advocate and solicitor. (2) Upon the filing of such certificate the Court or a Judge may order the moneys so certified to be paid forthwith to the client or brought into court. Control of Property Guilty advocate and solicitor, etc. 88. (1) The Bar Council may if it has reasonable cause to believe that an advocate and solicitor, or a clerk or servant of an advocate and solicitor, has been guilty of dishonesty in connection with that advocate and solicitor's practice as an advocate and solicitor or in connection with any trust of which that advocate and solicitor is a trustee, issue a certificate to that effect and thereupon the Schedule, except paragraph 7 thereof, shall apply in relation to that advocate and solicitor. 77 Legal Profession (2) Where the name of an advocate and solicitor is removed from the Roll or an advocate and solicitor is suspended from practice, he shall, within twenty-one days from the material date, satisfy the Bar Council that he has made suitable arrangements for making available to his client or to some other advocate and solicitor or advocates and solicitors instructed by his client or by himself-- (a) all deeds, wills, documents constituting or evidencing title to any property, papers, books of account, records, vouchers and other documents in his or his firm's possession or control, or relating to any trust of which he is the sole trustee or co-trustee with one or more of his partners, clerks or servants; and (b) all sums of money due from him or his firm to, or held by him or his firm on behalf of, his clients or subject to any such trust as aforesaid. (3) If he fails so to satisfy the Bar Council, the said Schedule shall apply in relation to him. (4) In subsection (2), the expression "the material date" means the latest of whichever of the following dates-- (a) the date when the order of the *Disciplinary Committee or of the Court by or in pursuance of which the advocate and solicitor's name is removed from, or struck off, the Roll, or the advocate and solicitor is suspended from practise, is to take effect; (b) the last date on which an appeal against the order in paragraph (a) may be lodged; (c) the date on which an appeal under paragraph (b) is dismissed or abandoned. (5) In this section and in the Schedule, the words "trust" and "trustee" have the same meanings as in subsection 78(6). *See Footnote on "Disciplinary Committee" or `Inquiry Committee' under paragraph 33(1)(d) Laws of Malaysia 78 ACT 166 Suspension of advocate and solicitor 88A. (1) Where an advocate and solicitor-- (a) has been found guilty by a court of law of any offence involving dishonesty, misuse of his client's moneys or dishonesty towards a client or in respect of any property belonging to a client; (b) has been disbarred, struck off, suspended or censured in his capacity as a legal practitioner in any other country; (c) in respect of whom a complaint has been made to the Bar Council concerning any dishonest act committed by him in his capacity as an advocate and solicitor; (d) has left the country or has not attended at his office in such circumstances that the Bar Council may reasonably presume that he has absconded; or (e) is otherwise incapable, from infirmity of body or mind or any other cause, of effectively performing the functions of an advocate and solicitor, and the Bar Council considers that it would be in the public interest or in the interest of his clients or of the profession that such advocate and solicitor be suspended from practice, the Bar Council may apply by summons to the Chief Judge ex parte for an order suspending such advocate and solicitor from practice until further order. (2) The Chief Judge may order that the application be served on such advocate and solicitor. (3) The Chief Judge if satisfied that such advocate and solicitor should be suspended from practice may make an order to that effect until any further order of the Court. (4) Such advocate and solicitor may within one month of the making of the order appeal against that order to the Federal Court whose decision shall be final. (5) There shall be no stay of execution of the order pending appeal. 79 Legal Profession (6) Unless the order is reversed upon appeal, subsections 88(2) and (3) shall apply mutatis mutandis to the advocate and solicitor in question; and for the purpose of subsection (4) of that section the expression "the material date" means the date of the order. (7) The Bar Council shall as soon as possible refer to the Disciplinary Board a complaint against the advocate and solicitor in question. Taking of possession of documents in the possession of advocate and solicitor 89. (1) Where-- (a) a complaint is made to the Bar Council that there has been undue delay on the part of an advocate and solicitor in connection with any matter in which he or his firm has been instructed on behalf of a client or any matter which relates to the administration of a trust of which that advocate and solicitor is the sole trustee or co-trustee with one or more of this partners, clerks or servants; (b) the Bar Council has by notice in writing invited the advocate and solicitor to give an explanation in respect of that matter; (c) the advocate and solicitor has, within a period of not less than twenty-one days specified in the said notice, failed to give an explanation in respect of that matter which the Bar Council regard as sufficient and satisfactory; and (d) the advocate and solicitor has been notified in writing by the Bar Council that he has so failed, the Schedule to this Act, other than paragraph 7 thereof, shall apply in relation to that advocate and solicitor, but as regards the documents specified in paragraph 1, and the sums of money specified in paragraph 9, of the Schedule, only in so far as they relate to the matter complained of: Provided that for the purposes of the proviso to paragraph 6 of the Schedule, the Bar Council may take copies of, or extracts from, documents which relate to the matter complained of or to that matter and to other matters in that advocate and solicitor's practice. Laws of Malaysia 80 ACT 166 (2) In this section, the words "trust" and "trustee" have the same meanings as in subsection 78(6). Taking of possession of property in Counsel's possession when he is undischarged bankrupt, etc. 90. (1) Where an advocate and solicitor practises in his own name or as a sole advocate and solicitor under a firm name and-- (a) is an undischarged bankrupt or a receiving order in bankruptcy is in force against him; (b) has entered into a composition with his creditors or a deed of arrangement for the benefit of his creditors; (c) has had an order of committal or an order for the issue of a writ of attachment made against him; or (d) is a mentally disordered person or patient as defined by the* Mental Disorder Ordinance 1952 [Ord. 31 of 1952], and the Bar Council or State Bar Committee have reasonable cause to believe that in consequence of the act, default or disability of the advocate and solicitor or of any clerk or servant of his-- (i) there has been undue delay in connection with any matter in which the advocate and solicitor or his firm has been instructed on behalf of a client on any matter which relates to the administration of a trust of which the advocate and solicitor is the sole trustee or co-trustee with one or more of his clerks or servants; or (ii) any sum of money due from that advocate and solicitor or his firm to, or held by him or his firm on behalf of, his clients or subject to any trust of which he is such sole trustee or co-trustee as aforesaid is in jeopardy while in the control or possession of that advocate and solicitor or his firm, the Schedule to this Act, other than paragraph 7 thereof, shall apply in relation to that advocate and solicitor: Provided that for the purposes of the proviso to paragraph 6 of the Schedule, the Bar Council may take copies of, or extracts from, d o c u m e n t s which relate to any matter referred to in subparagraph (i) of this section or to any sum of money referred to in subparagraph (ii) of this section or to that matter or sum of money, as the case may be, and to other matters in the advocate and solicitor's practice. *NOTE--This Ordinance would be repealed and replaced by the Metal Health Act 2001 which has not yet come into force­See section 93 Act 615. 81 Legal Profession (2) In this section, the words "trust" and "trustee" have the same meanings as in subsection 78(6). Personal representative liable for acts of advocate and solicitor 91. (1) Where-- (a) the Bar Council has reasonable cause to believe that the personal representatives of a deceased advocate and solicitor who immediately before his death was practising as an advocate and solicitor in his own name, or as a sole advocate and solicitor under a firm name, have been guilty of dishonesty or undue delay in administering the affairs of that advocate and solicitor's practice or in connection with any trust of which that advocate and solicitor was the sole trustee or co-trustee only with one or more of his clerks or servants; or (b) an advocate and solicitor dies and immediately before his death the Schedule applied to him, the Schedule, other than paragraph 7 thereof, shall apply in relation to the personal representatives and shall continue to apply to the personal representatives of the advocate and solicitor last mentioned as they apply or applied, as the case may be, in relation to the advocate and solicitor referred to in those provisions and as if the words "the personal representatives" were, with the necessary adaptations, substituted for the words "the advocate and solicitor" wherever these words occur in those provisions. (2) In this section, the words "trust" and "trustee" have the same meanings as in subsection 78(6). Bar Council to operate bank account of deceased solicitors' client 92.  On the death of an advocate and solicitor who immediately before his death was practising as an advocate and solicitor in his own name or as a sole advocate and solicitor in a firm name the right to operate, or otherwise deal with, any banking account in the name of the advocate and solicitor or his firm, being an account into which has been paid any clients' money shall, notwithstanding anything to the contrary contained in this Act, vest in the Bar Council to the exclusion of any personal representatives of the advocate and solicitor and shall be exercisable as from the death of the advocate and solicitor. Laws of Malaysia 82 ACT 166 PART VII DISCIPLINARY PROCEEDINGS Disciplinary Board 93. (1) For the purposes of disciplinary proceedings under this Part, there shall be established a Disciplinary Board. (2) The Disciplinary Board shall have the same powers as those exercised by the Bar Council before the coming into force of this Part.