Page 181 - Bank Muamalat_AR24

ANNUAL REPORT 2024 1 2 3 4 5 6 Governance 7 8 179

viii. Shariah Advisory Council, Securities Commission Malaysia xvi. Represent the Bank or to attend any meetings with
the SAC or other relevant bodies concerning any
Shariah Committee members are registered with Shariah issues relating to the Bank.
Securities Commission Malaysia (SCM) as individual
Shariah Adviser a Shariah adviser must, among others: xvii. The Shariah Committee shall maintain the confidentiality
of the BMMB’s internal information and shall
a. provide Shariah expertise and advice on Shariah responsible for the safe guarding of confidential
matters in relation to the Islamic capital market information. He or she should maintain all information
products or the Islamic capital market service in strict confidence, except when disclosure is authorised
including matters relating to documentation (which by the Bank or required by law.
includes the deed and prospectus), structure,
feature, investment instruments and ensure that xviii. The Shariah Committee shall ensure the quality and
all aspects of the products or activities are in consistency of the Shariah decisions.
accordance with Shariah requirements as set out
in the relevant securities laws and guidelines issued xix. The Shariah Committee has the responsibility to
by the SCM; provide objective and sound decision or advice to the
Bank on the application of hajah type 2 and darurah
b. ensure that the applicable Shariah rulings, principles in relation to Bank Negara Malaysia (BNM) Policy
and concepts endorsed by the SAC are complied Document on Hajah and Darurah.
with; and
c. apply ijtihad (intellectual reasoning) to ensure COMPOSITION OF SHARIAH COMMITTEE
all aspects relating to the Islamic capital market
products and the Islamic capital market activity According to Policy Document on Shariah Governance
are in compliance with Shariah, in the absence (PDSG), the composition of Shariah Committee at minimum
of any Shariah rulings, principles and concepts must comprise of at least five (5) members and the member
endorsed by the SAC. must not accept any appointment in more than one licensed
Islamic bank, one licensed takaful operator and one
ix. Provide Written Shariah Opinions prescribed institution. Furthermore, a Shariah Committee
member must not serve the same Islamic Financial Institutions
The Shariah Committee is required to provide written (IFI) for more than nine (9) years. For this year, there is
Shariah opinions in circumstances where the Bank make one (1) reappointment process was completed, and no new
reference to the SAC for further deliberation, or where appointment was taken place.
the Bank submits applications to the Bank for new
product approval. As at December, Shariah Committee of BMMB comprises
six (6) members who are based on renewal as per guided
x. Provide the Bank with guidelines and advice on religious under PDSG. A brief profile of each member of the Shariah
matters to ensure that the Bank’s overall activities are Committee is detailed out on pages 142 to 145 of this
in line with Shariah. Annual Report.
xi. Make decisions on matters arising from existing and
future activities of the Bank which have religious APPOINTMENT/REAPPOINTMENT OF SHARIAH
repercussions. COMMITTEE
xii. Report to the shareholders and the depositors that all The appointment/reappointment of the Shariah Committee
the Bank’s activities are in accordance with Shariah. members and Chairman of the Shariah Committee is subject
to assessment and evaluation based on the necessary
xiii. Provide Shariah advisory and consultancy services in all conditions made by the Bank and met all requirements
matters relating to Bank’s products, transactions and specified in the policies issued by BNM.
activities as well as other businesses involving the Bank.
The Board shall, upon recommendation of its Nomination
xiv. Scrutinise and endorse the annual financial report of and Remuneration Committee, nominate the appointment
the Bank. of the members of the Shariah Committee.

xv. Provide training to the staff as well as notes or relevant
materials for their reference.