Money Services Business
The money remittance industry in Malaysia has grown significantly in the last 2 decades or so. Traditionally, remittance service in Malaysia was provided by the banking institutions but it has since evolved. The remittance industry is a highly regulated one and was previously regulated under the Exchange Control Act 1953 and the Payment Systems Act 2003 with the Central Bank of Malaysia being the regulator of this industry. In 2009, there was a review of the legal and regulatory framework for the remittance services and wholesale currency business industry in Malaysia, which led to the passing of the Money Services Business Act 2011 (MSB) in July 2011. The MSB provides for the licensing, regulation and supervision of money changing, remittances and wholesale currency business under a single Act. Collectively, these businesses are described as money services business in the new landscape.
We have been active in providing legal and regulatory support relating to the money services business since year 2000, commencing with our advising a key global player in this industry, headquartered in the United States of America (for whom we are proud to continue to act until today, advising on every aspect of its business in Malaysia and all its ventures into new products). The team provides clients with transactional and regulatory counselling, and works proactively with clients with the aim of being strategic and helping to structure products and services that are innovative, attractive and compliant with the law. In the process of this, we liaise with regulatory authorities on a regular basis.
This practice of RDL is led by partner Chong Mei Mei, under whose leadership the practice continues to develop and grow with this industry as it moves into the digital space.