Q：
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What is a beneficial owner?
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A：
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A beneficial owner is a natural person who:
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ultimately owns or controls a company through interest in shares in the company; or
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exercises ultimate effective control by other means over a company.
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Q：
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Are there any companies exempted from beneficial ownership reporting?
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A：
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No company is exempted from complying with the beneficial ownership reporting framework under the Amendment Act.
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Q：
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How to identify the beneficial owner of a company?
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A：
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An individual is a beneficial owner if he fits any of the following criteria:
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directly or indirectly owns at least 20% of the company’s shares.
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directly or indirectly owns at least 20% of the company’s voting shares.
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Able to exercise ultimate effective control, whether formal or informal, over the company, the directors, or the management of the company.
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Able to directly or indirectly appoint or remove a director(s) with majority voting rights at the meeting of directors.
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Is a company member who, by an agreement with another member, controls the majority of the voting rights in the company.
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Has less than 20% of shares or voting shares but has substantial control or influence over the company.
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Q：
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What happens if a company is unable to obtain the beneficial ownership information or unable to identify its beneficial owner?
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A：
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The company must demonstrate attempts to obtain such information by sending at least two (2) notices to the members concerned. The records of such attempts must be retained alongside the Register of Beneficial Owners. However, if a company is unable to identify its beneficial owner, it is allowed to declare its senior management of the company in lieu of the beneficial owner.
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Q：
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Can a company have more than one (1) beneficial owner or individual in their senior management under the beneficial ownership reporting framework?
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A：
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Yes, a company can name more than one (1) beneficial owner or individual in senior management.
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FAQ
