AskCA
On 21 July 2016, Constance Wong wrote in and asked on the following:
I’ve purchased an under-construction condo few months ago, SPA under my personal name is signed and stamped, copies are currently on my hand. (The loan agreement is still with the developer’s panel lawyer.)

Now, I’m planning to withdraw my EPF with my SPA copy. Meanwhile, due to family issue, I may need to add in another name into the SPA.

Panel lawyer feedback as I have to pay extra legal fee to sign a new SPA (under me & the new name), get it stamped again, then only can go for KWSP

As I find the extra legal fee might be a financial burden for me at the moment, should I :
1) Ignore to sign the new SPA now, just go for EPF withdraw. I can back to lawyer to add in new name after when I got the EPF fund?
OR
2) Signing a new SPA first is a MUST, in order to submit my EPF withdrawal?

It is not advisable to submit the current SPA to withdraw Employees Provident Fund (“EPF”) since a new Purchaser will be added in the sale and purchase transaction.

Do note that pursuant to Section 59 of Employees Provident Fund Act 1991 (Amended) 2007, if an applicant is found to have furnished false documents, the applicant may be liable for a term not exceeding 3 years or a fine not exceeding RM10,000.00 or both.

Meanwhile, the applicant may be liable for a term not exceeding 6 months or a fine not exceeding RM2,000.00 or both if the amount withdrawn was not utilised for the intended purpose.

You are advised to sign a fresh Sale and Purchase Agreement (“SPA”) and stamp the same for your EPF withdrawal application.

You may refer to the link below for more information pertaining to withdrawal requirements.
http://www.kwsp.gov.my/portal/documents/10180/177802/More_Info_Purchase_House_D5_Jan_2016.pdf

Notwithstanding the above, we advise you to seek professional legal service if you wish to pursue or contest on the matter.