MALAYSIA Law and Practice Contributed by: Deepak Pillai, Yong Shih Han and Matthew Chang Jun Xiang, Christopher & Lee Ong
compliance with data protection laws. In this respect, the NCCP requires all stakeholders to comply with the PDPA and international data protection laws. Additionally, cloud service providers are expected to implement certain general data protection measures, such as encryption, access control and audits. 3.3 Rights and Obligations Under Applicable Data Regulation Apart from the rights and obligations provided under the PDPA, the previously mentioned laws do not pro - vide for any additional rights and obligations as they are primarily focused on the disclosure obligations of the data controller, as opposed to providing rights to the data subjects. 3.4 Regulators and Enforcement Public Sector Agencies Under Section 5 of the DSA, the NDSC was estab - lished, among other things, to oversee the imple - mentation of the DSA, to take or recommend steps or administrative actions to resolve issues arising dur - ing the implementation of the act, and to formulate policies relating to databases for the purposes of data sharing under the DSA. The NDSC is comprised of representatives from several departments and min - istries, including the secretary general of the Ministry of Digital, the chief government security officer and a representative of JPDP. Additionally, Section 11 of the DSA provides the direc - tor general with several functions and powers, includ - ing the power to: implement policies and strategies related to data sharing, require any person to submit any relevant information or document for the purpos - es of performing the director general’s duties, and to issue circulars or guidelines. Finally, Section 22 of the DSA gives police officers with the rank of sergeant and above the power to enforce, inspect and investigate any offence under the DSA. That said, as the DSA has not yet come into force, there are currently no cases of enforcement arising under this act. Sector-Specific Requirements Data controllers in different sectors fall under different regulators. For example, BNM acts as the regulator
overseeing financial institutions and is responsible for issuing various guidelines, such as guidelines relating to the disclosure of customer information. Additional - ly, as the regulator, BNM has the power to investigate and impose penalties on financial institutions that fail to comply with the FSA or BNM’s guidelines, includ - ing any failure to comply with the secrecy obligation under Section 133. As a result of BNM’s enforcement powers, in 2019 it issued two separate compounds and administra - tive monetary penalties. Similarly, several banks were taken to court for their or their employees’ breach of Section 133 of the FSA. Similarly, the Registrar of Credit Reporting Agencies is provided under Section 4 of the CRAA with the power to implement and enforce the CRAA, and is respon - sible for the monitoring, controlling, supervision and regulation of credit reporting agencies. National Cloud Computing Policy While the NCCP was overseen and developed by the Ministry of Digital in collaboration with several other ministries and government agencies (ie, the National Cyber Security Agency and the JPDP), the NCCP does not establish any enforcement agency or author - ity as it is merely a policy meant to guide and promote the adoption of cloud services. There are currently no rules governing online traffick - ing technologies such as cookies. As such, Malaysia does not impose any specific requirements relating to consent, op-out models or cookie policies. Nevertheless, while there are no strict requirements for the use of online tracking technologies, it is gener - ally best practice for websites and other applications or devices to inform their users about the use of such technologies. Examples of such methods include sim - ple pop-up notifications when a user first accesses a website or the insertion of a cookies policy in the website privacy notice or terms of use. 4. Sectoral Topics 4.1 Use of Cookies
297 CHAMBERS.COM
Powered by FlippingBook