Lim Guan Eng today has filed a notice of bankruptcy against Muhyiddin Yassin, following the former winning RM1.3 million in defamation damages against the latter.
However, the former prime minister has sought to stay the defamation ruling, pending his appeal to quash the verdict secured by the former finance minister.
Muhyiddin’s counsel Chetan Jethwani this afternoon confirmed that Lim’s legal team from Guok Partnership sought the bankruptcy bid.
The lawyer however contended that neither Muhyiddin nor his legal team have been served with copies of the bankruptcy notice.
Lim’s counsel Guok Ngek Seong said the bankruptcy notice was filed due to alleged non-compliance with demands for payment.
On Nov 8, the Kuala Lumpur High Court ruled that Muhyiddin defamed Lim over the alleged revocation of Albukhary Foundation’s tax-exempt status.
Judicial commissioner Roz Mawar Rozain ordered Muhyiddin to pay RM1.35 million in damages to Lim, as well as for the former to pay RM50,000 in costs to the latter.
She ruled among others that the Pagoh MP made no attempt to verify the statement before issuing it and that the allegation against the Bagan MP was baseless.
Muhyiddin has a pending appeal before the Court of Appeal to quash the defamation ruling.
Lim’s defamation suit was over the claim that the Bagan MP greenlit the revocation of the foundation’s tax-exempt status during the Pakatan Harapan administration.
The DAP chairperson was suing over Muhyiddin’s statement made to the media after the Bersatu president was summoned by the MACC on March 9 last year.
Lim was finance minister during the Harapan administration between May 2018 and February 2020, while Muhyiddin headed the Perikatan Nasional administration from March 2020 to August 2021.
On March 27 last year, Lim filed a writ of summons against Muhyiddin, after which the latter contended that Lim has to prove in court that the Finance Ministry did not revoke Albukhary Foundation’s tax-exempt status.
The Pagoh MP also claimed that Prime Minister Anwar Ibrahim’s statement in Parliament – that there were no records of Lim revoking the foundation’s tax-exempt status – was “wholly irrelevant” and a mere deflection so that Lim would not be held accountable for the Inland Revenue Board decision on the issue.
In his reply to Muhyiddin’s defence, Lim questioned why Muhyiddin did not raise the issue of the alleged tax exemption revocation when they were both part of former prime minister Dr Mahathir Mohamad’s cabinet from 2018 to 2020. – Malaysiakini