The Employees Provident Fund reiterates its stand that all company directors, whether or not directly involved in the daily operations of the company are to ensure that the company pays towards its employees EPF contributions.
The High Court in Penang in Lembaga KWSP vs. Adorna-Rmit Sdn. Bhd. made nine directors liable jointly and severally responsible whether they were active and/or inactive directors.
Under Section 46 of the EPF Act. 1991 all directors of a company are jointly and severally liable with the company to pay all outstanding arrears in contributions.
