KUALA LUMPUR (July 29): The Dewan Rakyat on Tuesday passed a new law that will allow official liquidators or administrators from other countries to access Malaysian courts to request recognition of foreign insolvency proceedings and seek appropriate relief, including orders to halt local legal actions or secure a debtor’s assets.
The Bill, known as the Cross-Border Insolvency Bill 2025, will also allow Malaysian insolvency practitioners to apply for recognition of local proceedings in foreign courts. The Bill was approved by a majority voice vote after being debated by 11 Members of Parliament.
Minister Azalina Othman Said explained that, until now, Malaysia didn’t have a clear law for handling company bankruptcies that involve…