Saheran Suhendran JC:

Introduction

[1] These Grounds are filed in respect of appeals ("the Appeals") against the dismissal of the applications for stay of bankruptcy proceedings.

[2] The Appeals are filed by Mohd Najib Bin Hj Abd Razak ("JD") the Judgment Debtor (in Encl 67) in WA-29NCC-99-02/2021 ("Suit 99") and Mohd Nazifuddin Bin Mohd Najib, the Judgment Debtor (in Encl 36) in WA-29NCC-100-02/2021 ("Suit 100").

[3] The initial decision dismissing the applications is that of the Deputy Registrar, Tuan Kamarul Aris bin Kamalluddin ("DR") given on the 29 July 2024 who dismissed the applications with costs of RM3,000.00. The Appeals from the DR's decision were then fixed before me.

[4] The 2 Appeals are similar, and it was agreed between Counsel that the appeals would be decided on the basis of the Appeal in Suit 99 and a similar decision would then be handed down for Suit 100.

[5] The contents of these Grounds are set out in the table below.

[6] The background facts set out below are taken from the submissions of Counsel for the JD for which I am grateful. I believe that these facts are undisputed.

The Background Facts

[7] The JD is the former Prime Minister of Malaysia, the former President of the United Malays National Organization (UMNO) and the former President of the Barisan Nasional coalition (BN). The JD's political career commenced in 1976 and since then, the JD has held and/or is still holding the following offices:

(a) Member of Parliament of Pekan from 1976 to date;

(b) Menteri Besar Pahang from 1982 up to 1986;

(c) Cabinet Minister in various portfolios since 1986 to 10 May 2018;

(d) Deputy Prime Minister of Malaysia from 7 January 2004 to 2 April 2009;

(e) Prime Minister of Malaysia from 3 April 2009 to 10 May 2018; and

(f) Advisor to the Barisan Nasional coalition party.

[8] The JC is the Government of Malaysia.

[9] On 15 March 2019, the JC raised a notice of additional assessments against the JD (Form JA) for the years of assessment 2011 to 2017. The said notice provided for additional assessments as follows:

[10] On 19 March 2019, the JC issued Form JR for the assessment years from 2011 to 2017 wherein it stated that the total additional tax assessments of RM1,465,690,844.00 was withdrawn and no additional tax was payable for such years.

[11] On 20 March 2019, the JC reissued Form JA for the assessment years from 2011 to 2017 wherein it stated that the total additional tax assessments of RM1,465,690,844.00 was reinstated and became payable by the JD.

[12] On 18 April 2019, the JD filed a notice of appeal (Form Q) to the Inland Revenue Board of Malaysia against the notice of additional assessments dated 20 March 2019.

[13] On 25 June 2019, the JC through the Inland Revenue Board of Malaysia filed a Civil Suit in the KL High Court against the JD seeking payment of a total of RM1,692,872,924.83 with interest at 5% per annum from the date of judgment, together with costs and such other relief deemed fit by the Court .

[14] The JC contends that the JD had failed to pay tax assessed within the stipulated period and as such, penalties (10% & 5% of the tax due and payable) have been imposed. The breakdown of the JC's claim is as follows:

[15] Civil proceedings were then commenced. On 4 July 2019, the JC served a Writ of Summons dated 25 June 2019 on the JD.

[16] On 8 August 2019, the JC filed Notice of Application for Summary Judgment against the JD pursuant to O 14 r 1 of the Rules of 2012 (Encl 6).

[17] On 22 August 2019, the Dispute Resolution Department referred the JD's Form(s) Q to the Special Commissioner of Income Tax ("SCIT").

[18] On 22 July 2020, the High Court Judge allowed the JC's summary judgment application with costs ("the Judgment").

[19] On 27 July 2020, the JD filed his Notice of Appeal to the Court of Appeal against the decision of the KL HCt dated 22 July 2020 granting the Judgment ("Order 14 Appeal").

[20] On 5 April 2021, the JD was served with the Bankruptcy Notice dated 4 February 2021 for the sum of RM1,7