'Muhyiddin's govt cancelled Albukhary Foundation's tax exemption'

Lim Guan Eng has contended that the revocation of the Albukhary Foundation’s tax exemption status was done during Muhyiddin Yassin’s administration.

Lim (above, left) rubbished the former premier’s claim that it happened during the DAP leader’s tenure as finance minister under Dr Mahathir Mohamad’s administration.

The plaintiff made the contention on the first day of trial in his defamation suit against Muhyiddin.

Lim headed the Finance Ministry from May 2018 to February 2020. After Mahathir stepped down as prime minister, Muhyiddin helmed the Perikatan Nasional government from March 2020 to August 2021.

In the opening statement tendered before the Kuala Lumpur High Court today, Lim claimed that a letter dated Feb 5, 2021, from tycoon-cum-philanthropist Syed Mokhtar Albukhary to Muhyiddin showed the revocation took place during the defendant's administration.

The plaintiff pointed out that the foundation chairperson's letter mentioned that the Inland Revenue Board (IRB) 'baru-baru ini' (recently) made the decision to not acknowledge the Finance Ministry's "approval".

"This letter will show a crystal clear picture that the issue of the revocation of tax exemption to the Albukhary Foundation was made when the defendant himself was the prime minister.

"The words used by Syed Mokhtar were concise and precise - 'baru-baru ini'.

“'Baru-baru ini' can only mean recently and by virtue of the letter dated Feb 5, 2021, it could only mean that the revocation did happen when the defendant was the prime minister," Lim said.

The Bagan MP contended that the letter did not even single out himself or the previous Pakatan Harapan administration as being responsible for the tax exemption status revocation.

Attack for ‘political survival’

Lim pointed out that Prime Minister Anwar Ibrahim on March 21 last year also debunked the allegation in Parliament.

"As the defendant knew or ought to have known of the contents of the letter issued by Syed Mokhtar to the defendant, the only explanation why the defendant continued to issue such blatant defamatory statements by attacking the plaintiff was due to political survival of the defendant," Lim contended.

Muhyiddin's legal team is expected to cross-examine Lim in court later.

Proceedings before judicial commissioner Roz Mawar Rozain resumes this afternoon.

On March 27 last year, Lim filed the writ of summons against Muhyiddin.

A month later in April through his statement of defence, Muhyiddin contended that Lim has to prove in court that the Finance Ministry did not revoke the tax exemption status.

The Pagoh MP also claimed that Anwar’s statement in Parliament - that there were no records of Lim revoking the foundation's tax exemption status - was “wholly irrelevant” and a mere deflection so that Lim would not be held accountable for IRB's 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 cancellation when they were both part of Mahathir’s cabinet.

Muhyiddin was the home minister during the Harapan administration from 2018 to 2020.

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