PARLIAMENT A Malaysia Airline System Bhd (Administration) 2014 Bill was tabled in Parliament today. If passed, it will become a law that will grant vast protection to the troubled national carrier and its appointed administrator.

The proposed law is part of the government's bid to rescue cash-strapped MAS, which this year lost two aircraft in disasters this year.

The Bill proposes to grant MAS, its wholly owned subsidiaries and three partially-owned subsidiaries, Abacus Distribution Systems (Malaysia) Sdn Bhd, Aerokleen Services Sdn Bhd and MAS Awana Services Sdn Bhd, which are collectively referred to as the "administered companies", a one-year moratorium.

Under the moratorium, no one can file in court a petition to wind up the administered companies nor can any resolution or order be issued to the same effect.

'No judgment can be enforced'

No judgment can be enforced on the property of the administered companies, nor can their properties be repossessed.

Also, no step can be taken to set off any debt owed by the administered companies.

All the above actions may only be carried out with the prior written concern of the administrator, which will be appointed by the MAS board of directors.

The administrator will oversee the operations and review the administered companies and an independent adviser will also be appointed to assist him or her.

The Bill also provides for the prime minister to extend the moratorium for another year, on the written request from the administrator.

It provides certain immunity to the prime minister, appointee (of the administrator), administrator, independent adviser and officers of the appointee and the independent adviser.

The Bill also provides for the individuals mentioned to be protected from legal action for any loss or damage incurred while executing, in good faith, their powers under the Bill.

However, the administrator is not immune to legal action if there is wilful misconduct that results in loss or damage.

Another secton of the Bill disallows the court from staying, restraining or affecting the powers of the administrator as granted under the proposed law or compelling any action.

The law, dubbed "MAS Bill", will be valid for up to five years or when MAS is re-listed on Bursa Malaysia.

However, the prime minister may declare an early end to the law.

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