Najib, son’s bankruptcy proceedings over RM1.7bil tax arrears suspended
Court of Appeal says High Court did not properly exercise its discretion in refusing the father and son's bid to suspend bankruptcy proceedings.
On July 2020, Najib Razak and his son Nazifuddin faced bankruptcy proceedings due to their failure to settle RM1.7 billion in tax arrears. However, the Court of Appeal has suspended these proceedings, granting the father and son an opportunity to challenge the tax quantum before the special commissioners of income tax (SCIT). Justice Alwi Abdul Wahab ruled that the High Court had improperly denied the father and son's request for a stay, as the issues raised in their appeal were serious and substantial.
The court also noted that issuing a bankruptcy order would disrupt the administration of justice and delay important litigation. The Inland Revenue Board (LHDN) maintains its right to enforce any finalized tax liability after resolving the disputes at SCIT.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
