How to obtain a filming licence from Finas
KINIGUIDE | Malaysiakini explores the Finas website to better understand the requirements and steps to get the licence.
KINIGUIDE | All forms of filming, including on personal social media platforms, require a licence from the National Film Development Corporation (Finas), according to Communications and Multimedia Minister Saifuddin Abdullah.
This has sparked outrage and social media is ablaze with postings critical of the requirement.
Malaysiakini explores the Finas website to better understand what is needed to obtain a filming licence from the government film agency.
In this instalment of KiniGuide, we break down the requirements and steps.
Who can apply?
According to Finas' Licensing and Enforcement Department guidelines, only those registered as owners of a private limited firm can apply for a video and film production licence.
On top of this, the applicant's firm must have a paid-up capital of no less than RM50,000 to be eligible.
At least one of the company's owners, shareholders or directors must be a member of a film-industry association that is listed with Finas.
The associations are Artiste Association of Malaysia (Seniman), Film Directors' Association of Malaysia (FDAM), Professional Film Workers Association of Malaysia (Profima), Karyawan Malaysia, Malaysia Film Producers Association and Malaysian Television Producers Association (PTVM).
For video production licences, an applicant is required to submit an approval letter from the Malaysian Investment Development Authority (Mida) and other relevant documents for video production.
There is an additional requirement for companies with the majority of its equity held by foreigners. For these companies, Finas specifies that at least 30 percent of its equity must be held by Malaysians, of which for five years 30 percent from that amount must be bumiputera-held.
After five years of holding the licence, the majority of the company's equity must be held by Malaysians, of which 30 percent by bumiputera.
How to apply for Finas licence?
All new applicants must fill out a form called "BPL-1".
Basically, BPL-1 is for those who want to be involved in three categories of film-related activities - namely production, distribution and exhibition of a film.
According to the guidelines, an applicant can obtain the BPL-1 form for free from Finas offices nationwide or by downloading it from its website.
The form must be attached with a list of documents, which are different according to the type of business the applicant owns. The documents submitted must be certified as true copies by the company's secretary or the Companies Commission (SSM).
For applications submitted by a single ownership or partnership business (business registration), the applicant is required to furnish a copy of the owner or owners' identity cards, and approval letter from SSM or a form that details the business' latest information.
Applicants who own a private limited company must submit the company's memorandum and articles of association; Borang 24 for shareholders; Borang 32 (if there was any change in the shareholding of the company); and Borang 49 that lists the company's directors.
The charges and deposit which applicants need to fork out depend on the type of licence. It can range from RM100 to RM400 for fees and from RM1,000 to RM5,000 for deposit.
Can licence be revoked or denied?
Yes. Finas is governed by the Perbadanan Kemajuan Filem Nasional Malaysia Act 1981.
Under Section 25(2), a licence can be revoked.
Under Section 21(3), Finas is allowed to refuse a licence without having to explain why. Its decision cannot be challenged in any court.
How does the guideline compare to the law?
According to the Perbadanan Kemajuan Filem Nasional Malaysia Act 1981, one of the stated objectives of this law was to "regulate and control" the production, distribution and exhibition of films in the country.
The law outlines, in general, the need for fees and a licence, while the Finas guidelines specify additional membership requirements, written approval from Mida and equity ownership requirements.
Section 22(1) of this law stipulates the need for a licence from Finas to distribute, exhibit or produce any moving images.
Although the guidelines are silent on penalties, Section 25 of the Act prescribed a maximum RM50,000 fine, a maximum two-year jail term or both.
Who can Finas go after?
If a company is found guilty under this law, all the decision-makers are liable as well.
According to Section 26, this includes every company director, secretary, partner or manager of the company.
However, those individuals will have a chance to prove that the offence was committed without their knowledge, consent or connivance and that the person exercised all due diligence to prevent the commission of the offence.
