Page 140 - Bank-Muamalat-AR2020

138 BANK MUAMALAT MALAYSIA BERHAD About Us Our Leadership Our Strategy
About Us
ANNUAL REPORT FY2020

SHARIAH COMMITTEE

STATEMENT

ix. Provide the Bank with guidelines and advice on religious Currently, BMMB’s Shariah Committee BMMB comprises five
matters to ensure that the Bank’s overall activities are in (5) members whose appointments are renewed every three (3)
line with Shariah. years. For this year, the Bank is proposing to replace two (2)
of our SCs who have exceeded nine (9) years of tenure.
x. Make decisions on matters arising from existing and
future activities of the Bank which have religious The Chairman of Shariah Committee must be a Shariah
repercussions. qualified person and meet all criteria as required under
PDSG, and the appointment is subject to approval by BNM.
xi. Report to the shareholders and the depositors that all
the Bank’s activities are in accordance with Shariah. Besides the Chairman, there should be an alternate Chairman
in the event where the Chairman of the Shariah Committee is
xii. Provide Shariah advisory and consultancy services in all unable to attend the meeting. The members shall elect one (1)
matters relating to the Bank’s products, transactions and member among themselves to become the alternate Chairman
activities as well as other businesses involving the Bank. to preside over the meeting. The alternate Chairman shall be
a member with qualified Shariah background.
xiii. Scrutinise and endorse the annual financial report of the
Bank. A brief profile of each member of the Shariah Committee is
presented on pages 115 to 117 of this Annual Report.
xiv. Provide training to the staff as well as notes or relevant
materials for their reference. Appointment/Reappointment of Shariah Committee

xv. Represent the Bank or attend any meetings with the The appointment/reappointment of the Shariah Committee
SAC or other relevant bodies concerning any Shariah members and Chairman of the Shariah Committee is subject
issues relating to the Bank. to assessment and evaluation based on necessary conditions
made by the Bank and met all requirements specified in the
xvi. The Shariah Committee shall maintain the confidentiality
of BMMB’s internal information and shall be responsible policies issued by BNM.
for the safeguarding of confidential information. He or The Board shall, upon recommendation of its Nomination
she should maintain all information in strict confidence, Committee, nominate the appointment of the members of the
except when disclosure is authorised by the Bank or Shariah Committee.
required by law.
Further written approval and endorsement from Bank Negara
xvii. The Shariah Committee shall ensure the quality and Malaysia must be obtained after approval from the Board at
consistency of the Shariah decisions. least three (3) months before it expects a proposed candidate to
assume his/her responsibilities. In the case of reappointment,
Composition of Shariah Committee
the application must be submitted three (3) months prior to
According to Policy Document on Shariah Governance the expiry of the Shariah Committee member’s tenure.
(“PDSG”), the composition of Shariah Committee at minimum
must comprise at least five (5) members and the member
must not accept any appointment in more than one licensed
Islamic bank, one licensed takaful operator and one prescribed
institution. Furthermore, a Shariah Committee member must
not serve the same Islamic Financial Institutions (“IFI”) for
more than nine (9) years.