Ku Nan's bid to suspend IRB suit to be heard next month

KUALA LUMPUR (Jan 7): Datuk Seri Tengku Adnan Tengku Mansor's application to suspend proceedings of the Inland Revenue Board (IRB)'s suit against him for RM57.17 million in income tax arrears will be heard on Feb 24.

Tengku Adnan, also known as Ku Nan, sought to suspend the proceedings of the case until his appeal to review the tax assessment with IRB is settled.

"The hearing of the stay application by the defendant and the IRB's application for Order 14, a summary judgement, will be heard on Feb 24," counsel Datuk S Satharuban told the press after meeting Justice Azimah Omar in chambers.

In November last year, Tengku Adnan withdrew his application to strike out the summary judgement applied by IRB.

The government had filed the suit, via IRB, on July 24 last year after charging the former Umno secretary-general for not paying income tax for the years of assessment 2012 to 2017, as stated in the assessment notice dated March 15, 2019.

IRB accused him of failing to pay the income tax within 30 days from the date the assessment notice was delivered as stipulated under Section 103 of the Income Tax Act 1967, resulting in the imposition of a further 10% increase on the overall figure.

The plaintiff said the defendant had failed to settle the entire income tax amount with the 10% increase and as it is still outstanding after 60 days, a further 5% interest was imposed on the defendant.

IRB also alleged that to date, the defendant has yet to pay the income tax arrears with the increment, amounting to RM57.17 million.

The plaintiff is seeking from the defendant a total of RM57.17 million, with interest at 5% per annum from the date of judgement until the realisation date with costs and other reliefs as deemed fit by the court.

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