PUTRAJAYA – Former prime minister Datuk Seri Najib Razak and his son Datuk Mohd Nazifuddin Najib have filed separate notices of motion to obtain leave to appeal against the Court of Appeal’s decision to dismiss their appeals to set aside a high court ruling ordering them to pay tax arrears amounting to RM1.69 billion and RM37.6 million, respectively, to the Inland Revenue Board (IRB).
Lawyer Wee Yeong Kang, representing the duo, told reporters that the notices of motion were filed yesterday at the Federal Court through legal firm Messrs Shafee & Co.
Both named the government as the respondent.
They are applying for leave to appeal at the Federal Court against the Court of Appeal decision made on September 9 to dismiss their appeals with cost of RM10,000 each.
In the notices, they submitted nine questions of law, including whether Section 106(3) of the Income Tax Act 1967 violates Article 121 of the federal constitution, and whether Section 106(3) is unconstitutional or ultra vires because it usurps the judiciary as enshrined under Article 121 of the constitution.
On September 9, judge Datuk Abdul Karim Abdul Jalil, leading a panel of three Court of Appeal judges, in delivering the unanimous decision said the court found no merit in the appeal filed by Najib and Nazifuddin, and that there was no error in judgment by the high court judges in both cases.
Najib and his son are appealing against the decisions of two separate high courts allowing IRB’s applications to enter a summary judgment to recover tax arrears of RM1.69 billion from the former and RM37.6 million from the latter.
A summary judgment is where the court decides a particular case summarily, without calling witnesses to testify.
On July 22 last year, high court judge Datuk Ahmad Bache allowed IRB’s application for a summary judgment to be entered against Najib in its suit to recover RM1.69 billion in taxes from him, for the period between 2011 and 2017.
As for Nazifuddin, high court judge Ahmad Zaidi Ibrahim on July 6 last year ordered him to pay RM37.6 million in unpaid taxes to IRB after allowing the agency’s application to enter a summary judgment against him in its suit seeking to recover the unpaid amount between 2011 and 2017.
The decision on the summary judgment against Nazifuddin was made on July 6 last year, while IRB’s application for a summary judgment against Najib was allowed on July 22 the same year.
On June 25, 2019, the government through IRB filed a suit against Najib seeking the payment of RM1.6 billion in income tax with interest at 5% a year from the date of judgment, as well as cost and other relief deemed fit by the court.
IRB, through the government, filed a similar suit against Nazifuddin on July 24, 2019 for the payment of RM37.6 million.
On February 4, 2021, the board issued a bankruptcy notice to Najib for his failure to settle the amount, as the summary judgment was not stayed.
Nazifuddin, too, was served a bankruptcy notice on April 30 over his failure to pay the sum as ordered by the high court. – Bernama, September 14, 2021
