What the business restriction list is
Labuan FSA is the regulator for Labuan IBFC, Malaysia's international business and financial centre. It licenses and supervises banks, insurers, money brokers, fund managers and other financial firms there.
Labuan FSA publishes a notice called "Business Restriction on Labuan Licensed Entities". You can find it in the Investor Alerts and Enforcement Actions sections of labuanfsa.gov.my.
The notice says Labuan FSA has imposed a business restriction on the entities listed. It cites section 193 of the Labuan Financial Services and Securities Act 2010.
The reason given is that these entities failed to meet minimum capital and/or other regulatory requirements.
What a restriction means
According to the notice, the listed entities are not allowed to carry out their licensed activities until the non-compliance issues are resolved.
In plain terms, the firm is still described as a Labuan licensed entity. But for now it may not carry on the business its licence covers.
The notice does not describe the restriction as a revocation. It links the restriction to the non-compliance issues being resolved.
The list covers many types of licence. Entries include money brokers, insurers, insurance brokers, commercial banks, investment banks, fund managers, securities licensees and Labuan international commodity trading companies.
How to read the list
The list is a simple table. Each row shows a number, the name of the financial institution and the type of licence it holds.
Match the firm's name exactly. Small differences in spelling, punctuation or a word like "Ltd" or "(L)" can point to a different company.
Look at the licence type too. It tells you which business the firm is not allowed to carry out.
The notice carries a date and can change. Check the current page on labuanfsa.gov.my rather than an old screenshot or a copy shared on social media.
How it fits with other Labuan FSA checks
The restriction list is one of several Labuan FSA tools. It works best alongside the others.
The Financial Institutions Directory at labuanfsa.gov.my/financial-institutions-directory lets you search by name or browse lists such as banks, insurance entities, fund managers and money brokers.
The list of unregulated and unauthorised individuals, entities, websites and funds names parties that are not licensed by Labuan FSA. Some entries are described as misusing its name or logo, or as possible clones of licensed firms. Labuan FSA says this list is not exhaustive.
Holding a licence and being free to use it are not always the same thing. Checking the restriction list as well as the directory gives a fuller picture.
For questions, Labuan FSA's Corporate Communication & External Relations Unit can be reached at communication@labuanfsa.gov.my or +603-8873 2000.
SmartChecker shows register records and reviews for the companies it lists, so you can compare what a firm says about itself with what the official registers show.
Common questions
Can a firm on the restriction list still carry out its licensed business? The notice says listed entities are not allowed to carry out their licensed activities until the non-compliance issues are resolved.
Why are firms placed on the list? Labuan FSA says the entities on it failed to meet minimum capital and/or other regulatory requirements.
Is the restriction list the same as the unauthorised entities list? No. The restriction list names Labuan licensed entities. The unauthorised list names parties that are not licensed by Labuan FSA.
Where can I check whether a firm is licensed in Labuan? Use the Financial Institutions Directory at labuanfsa.gov.my/financial-institutions-directory and search for the firm's exact name.