Foreigners Can Not Increase Paid-Up Capital In A Company?

In order to increase the paid-up capital of a company, you will need to complete the following processes:

1. Deposit real “cash” into the company’s bank account as “Share Application Monies”
2. Request company secretary to prepare the necessary documents (resolutions & EGM documents)
3. All directors & shareholders must approve & sign all documents
4. After signing & payment of fee, your company secretary will lodge the documents to SSM for registration

For foreign clients who do not have bank account under his/her company will have serious problem in doing the step 1.

IMPORTANT NOTES:

If you do not have such cash but managed to get “help” from someone to do it for your company without having putting “real cash” into your company’s bank account, the following bodies will be interested on the matters:

Malaysian Anti-Corruption Commission (MACC)

Companies Commission of Malaysia (CCM, or more common known as SSM)

Act governing this section:

Companies Act 1965, Section 48. Prohibition of allotment unless minimum subscription received.