WHAT IS CLBG?

A company limited by guarantee (CLBG) is a public company incorporated with the principal liability of its members limited by the constitution to such amount as the members undertake to contribute to the assets of the company if the company is wound up.

2. Activities of a CLBG must be in line with the objects as follows:-

a. providing recreation or amusement;

b. promoting commerce and industry;

c. promoting art;

d. promoting science;

e. promoting religion;

f. promoting charity;

g. promoting pension or superannuation schemes; or

h. promoting any other objects useful for the community or country, such as:

(i) environment;

(ii) health;

(iii) education;

(iv) research;

(v) social; or

(vi) sports.

Note: No other activities can be carry out by CLBG other than as per listed above.

TYPES OF CLBG

CLBG without the word "Berhad" or "Bhd"; and
CLBG with the word "Berhad" or "Bhd".

REQUIREMENT OF FOUNDER OR DIRECTOR

1. A founder or director of a CLBG must be a person who is fit and proper and is not disqualified under the CA 2016.

2. For the purposes of determining whether a person is fit and proper, the Registrar may:

consider the experience, qualification and competency of the founder or director which would assist him in carrying out his duties as director of the CLBG;

consider the reputation, character and integrity of the founder or director;

conduct a security vetting on the potential founder or director,

and a safety filter (security vetting) for the potential founder or director shall be conducted by the Royal Malaysian Police and/or other agencies.