Understanding Company Secretary
A Company Secretary is an officer within a business responsible for ensuring compliance with legal and regulatory requirements. In Malaysia, the role is mandated under the Companies Act 2016, which requires every company to appoint a qualified Company Secretary within 30 days of incorporation.
Roles and Responsibilities of a Company Secretary
The primary responsibilities of a Company Secretary include:
- Maintaining statutory registers and records: This includes the register of members, directors, and secretaries, among others.
- Filing statutory returns: involves preparing and submitting documents such as the Annual Return and Financial Statements to the Companies Commission of Malaysia (SSM).
- Organizing board and general meetings: Issuing notices, preparing resolutions, and ensuring meeting minutes are properly documented.
- Ensuring compliance: Advising the board on regulatory obligations and ensuring adherence to the Companies Act and other relevant laws.
- Corporate governance: Providing guidance on best practices to uphold accountability and transparency.
In Malaysia, a Company Secretary must be a qualified individual. This can include members of prescribed professional bodies such as the Malaysian Institute of Chartered Secretaries and Administrators (MAICSA) or licensed individuals approved by the SSM. Additionally, the Company Secretary must be a resident of Malaysia.
The Company Secretary can play the dual role of compliance officer and corporate advisor for private companies. Public companies have stricter requirements and often need a more experienced Company Secretary with in-depth expertise in governance and compliance.
An efficient Company Secretary is essential in safeguarding a company’s legal standing and helping it navigate the complex business landscape in Malaysia. Whether advising the board, maintaining proper records, or ensuring timely filings, their contributions are critical to the company’s success.
