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After Najib, IRB moves to declare his son a bankrupt

KUALA LUMPUR: Former prime minister Datuk Seri Najib Razak's son, Datuk Mohd Nazifuddin has been served with a bankruptcy notice following his failure to pay RM37. 6 million in taxes he owes the Inland Revenue Board (IRB).

The notice was served on Nazifuddin by the board on April 30.

During case management of the matter which was conducted online today, his lawyer Wee Yeong Kang said they had filed an affidavit to oppose the bankruptcy notice on May 6.

Wee said they planned to file another application to set aside the bankruptcy notice as well as an application to stay the bankruptcy proceedings by June 9.

"The bankruptcy notice was served on April 30 and we have filed an affidavit on May 6 to oppose it," he said after the matter came up for case management before Deputy Registrar Ida Rahayu Sharif.

He said further case management has been fixed on June 21.

According to the bankruptcy notice sighted by the New Straits Times, Nazifuddin now has to pay RM37.6 million with interest at five percent a year between July 6, 2020 and Feb 4, 2021, amounting to RM1.1 million from the date of the order of a summary judgement as well as costs of RM10,000.

This brings the accumulated sum to RM38. 7 million.

IRB had also in the notice dated Feb 4 said if Nazifuddin does not comply with the requests stated in the notice, a bankruptcy proceeding could be instituted against him.

On July 6, last year, the High Court had ordered Nazifuddin, 38, to pay RM37,644,810.73 in unpaid taxes to the IRB.

This was after a summary judgement order was entered in the IRB's tax arrears suit seeking to recoup the unpaid amount from Nazifuddin between 2011 and 2017.

In allowing the summary judgement, judge Datuk Ahmad Zaidi Ibrahim said it has been proven that the plaintiff's (IRB) claim was clear and obvious.

Nazifuddin's appeal against the summary judgement will be heard in the Court of Appeal on Aug 9.

On July 24, last year, the government had, through IRB, filed a writ of summons claiming that Nazifuddin still had unpaid taxes for the assessment years of 2011 to 2017 as stated in a notice dated March 15, 2019.

According to the notice, the tax arrears were RM1,541,850.83, RM5,718,486.42, RM5,437,086.08, RM3,775,133.23, RM1,796,494.18, RM2,271,812.79 and RM12,052,046.26 from the years 2011 to 2017, respectively.

Among others, the government had sought for a sum of RM37,644,810.73 with interest of five per cent per annum from the day of judgement until the sum is fulfilled, costs, and other relief deemed fit by the court.

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