On 2 September 2021, ACGA sent a letter to the Bursa Malaysia Securities Berhad in response to its consultation paper on the “Proposed Amendments to Listing Requirements in relation to Director Appointment and Independence”.

We commented on below questions in our letter.

Question 1: Do you agree that the computation of 12 years should take into account the service as an ID in the related corporations of applicant/listed issuer?

Question 2: Do you agree that a cooling off period of 3 years is appropriate for a long-serving ID before such person can be re-appointed as an ID? If not, what is your recommended cooling-off period?

Question 3: Do you agree that a grace period of 12 months is sufficient for a listed issuer to comply with the proposed enhancements as set out in paragraph 10 of this Consultation Paper? If not, what is your recommended grace period?

Question 4: Do you agree with the proposal in paragraph 19 of this Consultation Paper which requires a listed issuer to do the following:
a) Put in place a fit and proper policy for the appointment and re-appointment of directors of the listed issuer and its subsidiaries;
b) Ensure the policy addresses board quality and integrity;
c) Make available the policy on its website; and
d) Disclose the application of the fit and proper policy in the NC Statement?

Question 5: Do you agree that a listed issuer should be given the flexibility to formulate the fit and proper policy, guided by the proposed aspects in paragraph 21 of this Consultation Paper which will be set out in the CG Guide?

Question 6: Do you agree with the proposed aspects of fit and properness of directors in paragraph 21 of this Consultation Paper which will be set out in the CG Guide? Do you have any other recommended aspects for fit and properness of directors?