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    My-Point-of-View

    Review of the

    National Land Code19659/18/2009

    Research & Development Section,

    Department of Director General of Land and Mines,

    P t j

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    Putrajaya

    1. INTRODUCTION

    There have been calls for amendment and review of the NationalLand Code 1965 (Act 56 of 1966) for many years ago. The Act 56is, to a large extent, a re-enactment of earlier Land Code 1926, andmuch of the language remains as it was going back in thenineteenth century. There have been significant additions andamendments to the Code throughout the twentieth century but

    never a fundamental review of the whole Act.

    A number of provisions are obsolete or at least obsolescent in part.The National Land Code 1965 (NLC) needs modernisation, andclarification in many areas. There are uncertainties and ambiguitiesin the language as well as technical and operational problems. Inaddition, significant issues have emerged over the years that have

    taxed the minds of academics and the judiciary, not all of whichhave been resolved.

    Finally, the NLC was drafted at a time when the registry system waspaper based and it now needs to be read with the FourteenthSchedule (Computerized Land Registration System) and theSixteenth Schedule (Electronic Land Administration System)

    ti l hi h h ld d th i t d ti f th t b d

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    private sectors. The appointed Consultant is required to produceappropriate findings, such as As-Is Report, To-Be Report and

    together with a draft Bill for a New NLC. The final report should beready by mid-2013.

    This paper aims to focus on the overall issues that have been drawnto the attention of the Government and those technical details inthe present Act that has identified as requiring review. The firstpart of the paper covers preambles for this review, the second part

    focuses on guiding principles for revision, the third part focuses onthe possible scope for the review, the fourth part deals withexpected solution to be achieved by this review, the fifth part dealswith the review management structure, the sixth part intends toprovide guiding questions for review framework, the seventh partextracts some of possible examples of changes to be introduced inthis review and the eighth part intends to conclude the overall

    objectives to arrive by this review framework. All parts containtentative points of options for reform but need to be materialisedfor observations. Responses to these options and questions willassist in making the policy decisions and drafting recommendationsfor a new NLC.

    2. PRINCIPLES OF REVIEW

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    and facility of transfer (sometimes referred to as staticsecurity and dynamic security). While the latter

    promotes the interests of the immediate purchaser, oncethat purchaser has become a registered proprietor, theirownership of the land is subject to divestment by afraudster or an instrument that would be void at commonlaw.

    Another main issue is that, although legal interests can

    only be created by the State through registration,equitable interests are still recognised.

    A third is that there are interests that override theregister by virtue of other legislation.

    These issues are addressed in Torrens registration Acts,

    but not always sufficiently. They need to be taken intoaccount in a new NLC.

    (ii) Core elements of Torrens land registrationMost land registration Acts that were modelled on the

    S th A t li A t f 1861 d i d d l d

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    state compensation for losses as a result of thesystem or fraud or forgery.

    The above elements have developed from the originalTorrens registration principles, and in the JKPTGSpreliminary view should be retained in any reformed orreengineered NLC.

    The key principles of a modern Torrens land transfer

    system might be stated as follows:

    reliable registration of title to land; a register thatis as conclusive and inclusive as possible withregard to each registered proprietors title;

    certainty and security of legal title to interests inland as far as is possible;

    protection of equitable title (where it is recordedin the system) as far as practicable;

    relative simplicity and efficiency of transfer oftitle;

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    To improve land law policies especiallypertaining to the procedural land

    management, land dealings and land tenures;

    To create greater coordination between allthree levels of government: federal, state andlocal.

    To develop the integration of the Federalgovernments Cadastral Data ManagementSystem (CDMS) and the future stategovernments Electronic Land AdministrationSystem (ELAS) which embedded byComputerized Land Registration System(CLRS) and other subordinate land relatedsystems.

    Focus on capacity building in order togenerate a high public profile and interest.

    Create a system of e-Government allowingfor functionality of business to citizengovernment, intra-government, and inter-

    t

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    3. SCOPE OF THE REVIEW

    Phase I

    Focus: Immediate enhancement of land administrationdelivery system

    Timeline: Januari December 2010

    Tasks:(i) Streamline the statutory forms creation of

    single point of contact, simple and easy-to-use;

    Land matters by manual practice ofpaper based.

    Land matters by use of computer electronic based.

    (ii) Development of electronic land transactioncode;

    C i f titl i t l t i

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    Self-governance of corporatized federallands

    Centre of excellence in ICT-based in landadministration system

    Deliverables: As-Is and To-Be Reports.Discussion and Consultation PapersSeminars and WorkshopsField Visits

    Overseas Visits

    Phase II

    Focus: Essential Creation of New National Land Code

    Timeline: Januari 2011 December 2013

    Tasks:(i) Integrated land tenure legislation

    There is a demand for land tenure legislationto be consolidated to make it moreaccessible to users and make tenure creation

    l tl d ffi i t i

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    community have demanded tenurelegislation that;

    is well structured; is written in plain English (and Bahasa

    Malaysia); is limited to tenure creation matters; has greater standardisation of processes

    and requirements; and is generally easier to use.

    (iii) Flexible legislationExamples;

    Land Court Compensation for loss by insurance

    principle State Authority assurancefund

    Option for private title insurance Resolving statutory conflicts overriding

    statutes, competing provisions, etc

    Wh i bl ?

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    4. EXPECTED SOLUTION

    This review seeks for the following expected solution to be achievedas shown in the Figures below:

    Facilitating

    Sustainable DevelopmentEconomic, Social, Environmental, Governance

    Quality of Life

    Social Context

    Country Context(Federal-State Levels)

    Institutional Arrangements Capacity Building Education & Research Services to business and citizens Coordinated land information &

    management systems

    Land Value &Taxation

    Quit Rent Premium Assessment

    Land Use

    Agricultural Building Industry

    NEWNATIONAL LAND CODEPOLICY FRAMEWORK

    (Overall Policies)

    Land Tenure

    Disposal of landRights

    Indefeasibility ofTitles

    Registration ofdealings/non-dealings

    Land Development

    Land Use Conversion Subdivision of land Partitioning of land Amalgamation of land Surrender of land Re-alienation of land Abandoned Title

    Fi 2

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    5. REVIEW MANAGEMENT STRUCTURE

    Law Review CommissionSecretariat:

    Attorney General

    ELAS Steering CommitteeChairman:

    Chief Secretary (NRE)

    ELAS Legislation CommitteeChairman:

    Director General of Land and Mines (Federal)

    JKPTG

    NLC Review TeamSecretariat:

    Seksyen Kajian Penyelidikan dan Pembangunan

    Consultants

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    Q4. Should a volunteer be entitled to the same protection asa purchaser for value?

    Q5. Which of the above options do you consider would bemost in line with modern Torrens principles and practicein Malaysia?

    Q6. Should a court be able to declare an act to defeat anunregistered interest, by a proprietor who had alreadyregistered with no apparent intent to defeat thatinterest, fraudulent for the purposes of the new NLC?

    Q7. Or should the holder of the unregistered interest rely onan in personam claim where possible?

    Q8. (a) What is the appropriate and desirable scope offraud or forgery under a Torrens system? Shouldit be the equitable approach of Malaysian judges,or the stricter more pro-purchaser stance of the

    M l i t h i b t ?

    LAND TRANSFER BY FRAUD

    OR FORGERY

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    Q14. If so, should the boundaries of the in personam

    jurisdiction be left to judicial development, or createdthough legislative reform?

    Q15. Would the three requirements for a valid in personamclaim set out above have the effect of preventingsignificant inroads into Torrens principles? If so, shouldthose three requirements be included in the new NLC?

    Q16. Has the electronic system changed the circumstances inwhich there is need for the Registrar to exercise his orher powers?

    Q17. Should the extent of the Registrars powers in relation tothe word wrongfully be clarified, and if so, how?

    Q18. Are there situations where it would be appropriate forthe Registrar to correct a title that has been obtained

    f ll ?

    REGISTRARS POWERS OF

    CORRECTION

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    Q22. To what extent are there any truly unregistrableinterests under the NLC? If so, what are they?

    Q23. How should unregistrable interests be treated in the newNLC?

    Q24. Are there any unregistrable interests that should be ableto be registered?

    Q25. Should the protection to non-registered purchasers bereaffirmed, or should the legislation be changed toreflect the orthodox application of the NLC?

    Q26. Should the register accurately reflect or mirror theinterests that relate to a particular piece of land? Thatis, should unregistered interests that affect land be ableto included on the computer register?

    Q27. Should there be greater protection for unregisteredinterests?

    UNREGISTERED INTERESTS

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    Q34. Is there a problem with the present provisions for trusts?

    Q35. If so, should the new NLC provide that trustees can bedescribed as such on the register?

    Q36. If so, should they be obliged to deposit the trust deedwith the Registrar (with a reference on the register) so

    that it may be searched?

    Q37. Or, should the new NLC provide for a system of notingrestrictions on the register, similar to that in the Englishlegislation?

    Q38. What would be the practical consequences of a system

    similar to that in Queensland: (a) for the registry and (b)for the purchaser?

    Q39. What would be the benefits of registering trusts forbeneficiaries? For purchasers? For conveyancers?

    Q40. What might be the disadvantages of registration for

    h ?

    TRUSTS ON OR OFF THE

    REGISTER

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    Q45. Are you aware of other examples of statutory provisionsthat are inconsistent with the NLC?

    Q46. Should the NLC be amended to more clearly signal topeople that other statutory interests may override theirregistered interest?

    Q47. Should the matter of ascertaining legislative intentionfor the purpose of reconciling statutory conflicts be left

    to the court? Would a clearer guide in the statutoryprovisions of the particular overriding statute tolegislative intention be helpful?

    Q48. Has the risk of mistakes and errors in the registrationprocess increased or decreased with the automation ofthe register?

    Q49. Is it satisfactory that compensation claims are limited toclaims for Registrars errors?

    Q50. Do provisions of the NLC provide adequate grounds for a

    COMPENSATION PROVISIONS

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    Q57. Is it appropriate to retain the NLC exceptions to the right

    to compensation, or can/should some of theseexceptions be repealed?

    Q58. Is it appropriate to retain the above exceptions to theright to compensation, or should some of theseexceptions be repealed?

    Q59. Should the NLC land legislation codify the exceptions tothe right to compensation with an exclusive list?

    Q60. What is the most appropriate method of measuringdamages for a compensation claim under the new NLC?

    Q61. Should the measure of damages applicable under the

    NLC be left to the common law, or should guidance begiven in the statute?

    Q62. Does NLC provide an appropriate method of calculatingdamages for compensation claims? In particular, shoulddamages be measured as at the date when the claimantwas deprived of land?

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    Q69. What do you think would be an appropriate model forthe new NLC?

    Q70. Does a model discussed in this paper a useful basis for

    the new Act?

    Q71. What provisions of the current NLC might be moreappropriately placed in regulations?

    Q72. Should the current provisions describing the register beredrafted, so as to be generic about the format theregister is held in and would it be helpful if theregisterwas comprehensively defined in one place?

    Q73. Is the retention of the term the register appropriate?

    f f

    REVISING THE NATIONAL LAND

    CODE 1965

    TECHNICAL ISSUES

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    Q79. What provisions in the NLC need to be retained in orderto cater for land that ceases to be electronic

    transactions land?

    Q80. Are there any other issues that require attention inrelation to the register and registration?

    Q81. The searching and evidentiary provisions should bereviewed and consolidated in the new Act. Are there any

    particular issues or problems that need addressing?

    Q82. The specification provisions for NLC forms will need tobe reviewed and carried forward into the new Act. Dothese need to be retained in the Act or can they be dealtwith in regulations?

    Q83. Should there be different levels of certification, based onthe class of permissible electronic instruments?

    Q84. Should a modern form of qualified title be adopted?

    Q85. What details should be included in an application fortransmission? For example, is it necessary that equities

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    Q93. If not, should the relevant provisions simply prohibit the

    registration of such instruments whilst the interestaffected is subject to a charge or sub-charge, thusforcing the charge or subcharge to be discharged?

    Q94. If a consent requirement is retained, should therelevant provisions be clearer as to the fate of thecharge or sub-charge upon the registration of the

    instrument that has been consented to?

    Q95. Assuming that chargee consent is still required in orderto bind that party and avoid problems later if power ofsale is exercised, are the current provisions adequate?Should the consent continue to be mandatory in allcases?

    Q96. Is it sufficiently clear what the essential characteristicsare of a lease in renewal or a lease in substitution?For instance, does the term of the lease in renewal haveto commence on the day after the expiry of the priorlease or can there be a gap? Must the land be exactlythe same, no more and no less?

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    Q101. Is it desirable for the new NLC to contain a generalprovision authorising the updating of the register by

    the Registrar, independently of a formal application?

    Q102. If so, in what circumstances would the Registrar beempowered to act on his or her own initiative?

    Q103. If a specific provision is warranted, does the NLCprovide a useful model? Does this require a formal

    application to the Registrar or is evidence oftermination sufficient to satisfy the Registrar a betterformula?

    Q104. Alternatively, is this a non-contentious matter thatcould be provided for in the NLC Regulations?

    Q105. Should the new NLC refer explicitly to the creation ofvarious life estates?

    Q106. Should the NLC be amended to clarify the appropriateinstrument for creating life interests in relation toleasehold lands?

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    Q112. Should the NLC set out a procedure for applications forentry on the register to the effect that an easement or

    profit prendre has been determined or extinguishedas well as for an easement that has becomeredundant?

    Q113. Should there be provision for removal of redundanteasements in gross?

    Q114. Are any other amendments relating to easement ofthe NLC necessary or desirable?

    Q115. Would these Schedules of the NLC be moreappropriately positioned within regulations rather thanin the new NLC?

    Q116. Caveats against dealings:

    (a) Should there be any changes to the particularsrequired in the NLC?

    (b) Should any of these requirements be set out inregulations?

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    (j) Should there be a provision that allows anapplication under the NLC to be withdrawn? If so,how would this operate?

    Q117. Role of Registrar in receiving caveats:

    (a) What should be the role of the Registrar inrelation to second caveats, and is this role

    adequately expressed in the current provisions?

    (b) Should the responsibility of caveators not tolodge second caveats and the liability for non-compliance be increased?

    (c) Is it desirable to clarify the role of the Registrarin receiving caveats?

    Q118. Registrars caveats:

    (a) Are the criteria for the entry of a Registrarscaveat still appropriate?

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    (d) Should an equity exception and mistake as toboundaries exception be incorporated into the

    new NLC?

    (e) Are the special rules applying to land, which isin the registered proprietorship of persons withlegal disabilities, appropriate?

    (f) Is the qualifying criterion of not less than 20years continuous possession still an appropriateone? If not, what should that criterion be?

    (g) For instance, should adverse possession basedon the encroachment of structures over thecommon boundary (either because of a mistakeas to boundary or a seeming abandonment of

    boundary land by a registered proprietor) becapable of supporting an adverse possessionclaim?

    (h) Where occupation by the applicant is inside thetitle boundaries, are there sound reasons whythere should be a different outcome depending

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    Q120. Strata Titles:

    (a) Should the provisions relating to issuance ofstrata titles under the Strata Titles Act 1985 beincorporated into the new NLC? And theprovisions relating to maintenance andmanagement of strata scheme should beincorporated in the Building and Common

    Property (Maintenance and Management) Act2007?

    (b) What changes can be made to strata titleslegislation to align it with electronic lodgementand other modern needs?

    (c) What other changes would improve strata titleslegislation of the new NLC?Q121. Disposal of land:

    (a) Should the new NLC or the new land regulationsprescribe the meaning of special

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    7. EXAMPLES OF POSSIBLE CHANGES TO BE INTRODUCED

    In view of this review, Appendix B shows some examples ofpossible changes to be introduced in the new NLC.

    8. CONCLUSION

    There is a need to have a good land administration system. The

    modern cadastre for instance is not primarily concerned withgeneralized data but rather with detailed information at theindividual title to land. As such it should service the needs both ofthe individual and of the community at large. Benefits arise throughits application to: asset management; conveyancing; creditsecurity; demographic analysis; development control; emergencyplanning and management; environmental impact assessment;housing transactions and land market analysis; land and propertyownership; land and property taxation; land reform; monitoringstatistical data; physical planning; property portfolio management;public communication; site location; site management andprotection.

    Although land records are expensive to compile and to keep up todate, a good land administration system should produce benefits,

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    on the more traditional processes supporting simple land trading. Ido believe the growth in complex commodities offers many

    opportunities for land administrators if they are prepared to thinklaterally and more strategically.

    There is a challenge to land administration officials to design andbuild modern land administration and cadastral systems that willbetter support the creation, administration and trading of complexcommodities and particularly use land information to spatially

    enable not only government but society in general. Unfortunatelywithout these systems modern economies will have difficultymeeting sustainable development objectives and achieving theireconomic potential.

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    APPENDIX-A

    DIAGRAM 1: NEW CREATION OF NATIONAL LAND CODE

    AS-IS NLC TO-BE NLC

    DIVISION 1: INTRODUCTORY

    Part 1 Preliminary

    CLRSPart 1(A)

    Part 1(B) DANAHARTA

    Part 1(C) ELAS

    Part 2 Administration

    Part 3 Powers of SA

    Part 4 Other than alienation

    DIVISION 2: DISPOSAL OF LAND

    PART 1 PRELIMINARY PROVISIONS

    Commencement, purpose,

    interpretation, overview

    PART 2 APPLICATION

    Land to which NLC applies list

    of interests capable of

    re istration

    PART 3 DISPOSAL OF LAND

    By alienation

    By other than alienation

    PART 4 REGISTER

    Register Document of Title

    Review and

    remove as

    desirable and

    ex edient

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    AS-IS NLC

    DIVISION 4: DEALINGS

    Part 13 General

    TransfersPart 14

    Part 15 Leases & Tenancies

    Part 16 Charges & Liens

    Part 17 Easements

    Part 18 Registration of

    Dealings

    Part 20 Indefeasibility of

    DIVISION 5: SUPPLEMENTAL

    Part 19 Restraints on

    Dealings

    TO-BE NLC

    PART 8 POWERS OF REGISTRAR

    Prior registration Upon registration

    After registration

    PART 9 DEALINGS WITH LAND AND

    INTERESTS IN LAND

    Transfers

    Transmission

    Leases

    Charges

    Trusts

    Tenancies

    Vesting

    Review and

    introduce

    indemnity or

    assurance fund

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    AS-IS NLC

    Part 28 LA Right of way

    SurveyPart 29

    Part 30 Registration of

    statutory vesting

    Part 31 Jurisdiction of the

    Court

    Part 31(A) Power of

    investigation

    Part 32 Power of arrest,

    seizure and penalties

    Part 33 Service and

    publication of notices

    Part 34 Miscellaneous

    TO-BE NLC

    Waqf landMalay Reservation land

    Mining land

    Sultanate land

    Terengganu Settlement land

    Customary or Indigenous land

    Kelantan Settlement land

    Padi Cultivators Tenure

    Group Settlement Areas

    PART 12 REQUIREMENTS FOR

    INFORMATION

    Plans and Survey

    Establish

    Land Court

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    Fifth Officers or other

    persons to attest

    execution of

    instruments effectingdealings under Act

    Sixth Agreements which

    may be incorporated

    in leases

    AS-IS NLC

    Seventh Repealed

    Eighth Repealed

    Ninth Repealed

    Seventh A Repealed

    Seventh B Repealed

    Tenth Supplementary

    provision as to forms

    Land Administrators right ofway

    Expression relating to padi or

    bendang

    Agreements incorporated in

    leases

    Modifications for Kelantan

    Modifications for Federal

    Territory

    TO-BE NLC

    Special provisions to land under

    commencement of this Act

    Country, Town or Village land

    Regulations by the Minister

    Statutory Forms and Procedure

    Attestation Procedure

    First

    Second

    Review and

    reinstate (strata

    titles tenure only)

    and excluding

    management &

    maintenance of

    strata scheme

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    APPENDIX-B

    SOME EXAMPLES OF POSSIBLE CHANGES TO BE INTRODUCED

    IN THE NEW CREATION OF NATIONAL LAND CODE

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    1 Disposal of land

    1.1 Temporary Occupation License

    (TOL)

    TOL to be abolished and substituted

    by way of granting lease.

    (i) There are cases where TOL had beenissued for a period of exceeding one

    year and its terms is quite similar to

    lease.

    (ii) By lease approach, the period of landusage can be extended and

    subsequently, it enhances the landvalue.

    (iii)Under this arrangement All state land could be alienated or

    reserved.

    All alienated land could be leasedunder Part Fifteen Chapter 1.

    All reserved land could be leasedunder section 63.

    Part Four Chapter 2(Section 6569) to be

    repealed.

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    Page 34 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    2 Titles

    2.1 There are two (2) types of titles

    namely;

    Registry Title Land Office Title

    There will be a single title system,

    inter alia, Registry Title only.

    Note:

    Previously, the proposed single title

    was passed by Parliament on 27th

    of

    June 1984 through Act A587 (s.77A).

    However, that provision was

    subsequently repealed on 25th

    of

    March 1985.

    This idea has been adopted by FT

    Putrajaya [vide section 166A, FT ofPutrajaya (Modification of NLC) Order

    2001].

    (i) To facilitate the administration of LandOffice

    (ii) Doing business with more convenientfor public.

    (iii)Under this arrangement All Land Administrators will be

    gazetted as Deputy Registrar of

    Title and Director Land & Mines as

    Registrar of Titles by virtue of

    section 12.

    The existing land office title will beconverted to Registry Title through

    CLRS.

    A new provision to be incorporatedin NLC as to allow conversion from

    Land Office Title to Registry Title.

    Titles database will be centralisedin PTG Office.

    All registration of dealings could bepresented at any District LandOffice in the same State.

    (Section 5A) to beamended.

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    Page 35 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    2.2 Qualified Title (QT) is to be

    registered first prior to thesurvey of land and issuance of

    Final Title (FT).

    To abolish the registration and

    issuance of QT.

    (i) Land database system could be easilyupdated, accurate and manageable

    (ii) Under this arrangement All alienated land should have

    surveyed plan or pre-comp plan.

    In the case of title in continuationwhere approval for land

    development is granted, pre-com

    plan which certified by the Director

    of Survey and Mapping shall beused as plan for Final Title.

    Eventually all alienated land shouldhave a final title.

    Section 79 (2) NLC(Amendment 2001) tobe retained.

    The whole Part Elevenof NLC (Section 176-

    194) to be repealed

    and any reference to

    QT in NLC has to be

    amended and deleted.

    2.3 There are CRDT and CIDT

    produced by virtue of CLRS

    operation.

    In view of CLRS enhancement, there

    will be

    Only CIDT to be printed. Public or Land Office may accessCRDT information via land

    database.

    (i) To facilitate the records storage andminimize the space usage.

    (ii) In line with centralised titles storagesystem.

    (iii)Under this arrangement a copy oftitle plan (B1) for the land may be

    made available at any land office

    Schedule 14 (Section5A) to be amended.

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    Page 36 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    Only the issuance of first title to beattached with plan.

    2.3 QT in continuation as a

    consequence of land

    development process, i.e.

    subdivision of land, etc.

    QT in continuation to be abolished. (i) In view of good land administrationsystem, there is a need to have

    immediate registration of FT by using

    surveyed plan or certified pre-

    computation plan.

    (ii) Under this arrangement Theconversion of existing QT to FT would

    be undertaken by a special task force

    or through outsourcing

    -do-

    2.4 N/A There will be automatic renewal of

    leasehold land without requiring for

    application in writing by applicant.

    Example:

    No person claiming under a document of title

    shall, in the absence of contrary provision contained

    in that document of title, have any right, to any

    renewal, whether upon the same conditions or

    otherwise, of the estate or interest thereby secured:

    (i) By operation of current NLC, there isno guarantee that applicant will get

    back his land lease upon surrendering

    it to State Authority for renewal or

    extension of leasehold.

    (ii) Enhance the land value and provide acontinuous security of tenure.

    To incorporate new

    provision in the NLC.

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    Page 37 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISEDProvided that the Director may, upon such terms

    and conditions as he may impose, re-alienate the

    land covered by the document of title to the personwho is the registered proprietor thereof

    2.5 In relation to indefeasibility of

    title or interest, there is no

    compensation or indemnity for

    loss in consequence of fraud or

    forgery.

    There will be an assurance fund to

    compensate the innocent persons

    who deprived their rights or interest

    over land in consequence of fraud or

    forgery of misrepresentation.

    Incorporating the third principle of Torrens

    system (that is insurance principle) into

    Malaysian land legislation.

    To incorporate new

    provision in the NLC.

    3 Dealings and Forms

    3.2 All land dealings are restricted to

    a particular Land Office only.

    All land dealings are allowed to be

    presented at any Land Office within

    the same State.

    (i)To facilitate public expectation.(ii)In line with the development of ICT-

    based land administration system

    nationwide.

    (ii) Under this arrangement Registrationcould be done electronically at any

    Land Office in the same State.

    Section 292(2) tobe amended.

    3.3 Forms for land dealings can only

    be attested by qualified persons

    as prescribed in Schedule 5 NLC.

    The qualified persons for attestation

    to be extended to government officer

    in Management and Professional

    level.

    To facilitate delivery system andmeet the public expectation.

    Reduce burden of landadministrator.

    List of attesting officer in

    the Fifth Schedule to be

    extended.

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    Page 38 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    Exception:

    However such an extension does notapplicable to Malay Reserved Land.

    In Western Australia any personage 21 years old and above whofree from any criminal record is

    allowed to attest a document.

    In Malaysia, section 2 of the Ageof Majority Act 1971 provides that

    age of eighteen as the age of

    majority.

    3.4 Private and official title search

    only available at Registrar Office

    or a particular Land Office.

    Title search can be madeonline at any Land Office in

    the same State.

    Remote title search can bemade online for the registered

    customer.

    (i) To facilitate the public needs andprofessional bodies or agency in which

    they are involved in real estates or landbusiness.

    (ii)In DOLA Australia, title search can bedone in 4 ways:

    a.Search counterb.Phone and faxc.Websited.E-mail

    Section 384 to beamended.

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    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    (iii)Under this arrangement By given an access code, a

    customer may obtain title search

    through a PC (workstation) which

    will be made available at every

    Land Office upon payment of a

    prescribed fees.

    A customer may order for a searchvia e-mail, fax machine or by post

    where payment can be made by

    using credit card. A successfulsearch can be sent to applicant

    through fax or by post (whichever

    appropriate).

    Registered customer may accessfor a search through their PC with

    the application software which

    provided by the Land Office upon

    subscription and registration.

    The certificate of title search canbe issued in the form of computer

    printout through CLRS or ELAS.

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    Page 40 of41

    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    4 Land Development

    4.1 There are multiple types ofapplication for land

    development, i.e;

    (i) Change of conditions s.124(ii) Change of conditions and

    subdivision s.124A.

    (iii) Subdivision s.135.(iv) Partition s.140.(v) Amalgamation s.146.(vi) Surrender and re alienation

    s.204A-s.204H.(vii)Surrender and re alienation

    s.203 (country land).

    There will be only two types ofapplication for land development;

    That is by section 124 and 204A-

    204H only.

    Flexible, simple, easyto-deal with landmatters for land development. Avoiding

    confusion among users.

    Under this arrangement

    Any endorsement or memorial which isenforceable at the time of surrender

    shall be carried forward into the new

    title.

    The whole Part Nine(Chapter 1, 2 and 3),Sections 203 and 204

    to be repealed.

    Sections 204A-204H tobe amended.

    5 Land Revenue

    5.1 There are different rates for late

    payment penalty in States Land

    Rules.

    There will be a uniformed, simplified

    and standardised rate and

    computation of penalty

    (i.e. 10% of rent rate)

    To simplified the computation of late

    payment penalty.

    Under this arrangement

    Any provisions relating to penalty inSLR has to be repealed.

    All States will have a standard anduniform computation rate of penalty.

    To incorporate a new

    provision in NLC.

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    NO. AS-ISNLC TO-BENLC RATIONALE PROVISIONS OF NLC TO BE

    AMENDED OR REVISED

    6 Survey

    6.1 N/A There will be one day Certified Planfor one day Title delivery.

    Flexible, easyto-deal with land matters atLand Office and Survey Department.

    Avoiding red-tapes, cost effective and user-

    friendly.

    Under this arrangement

    e-submission to be introduced (byupgrading the concept field to

    finish)

    Section 396 to beamended.