Summary judgment entered against lawyer Shafee in tax case


KUALA LUMPUR: The High Court has allowed an application by the Inland Revenue Board (LHDN) to enter a summary judgment against veteran lawyer Tan Sri Muhammad Shafee Abdullah for failing to pay income tax arrears amounting to RM9.41mil.

However, Judicial Commissioner Roz Mawar Rozain fixed next Monday (Dec 18) to determine the final amount Muhammad Shafee needs to pay to LHDN.

In allowing LHDN's application, Roz Mawar said that based on affidavits, Muhammad Shafee had no defence to the claim and there were no issues which warranted the testimony of witnesses at a full trial.

She said the amount not recovered from Muhammad Shafee had become a debt owed to the government as the payment period had lapsed.

"The decision to have a summary judgment is to avoid a full-blown trial. In the circumstances, the summary judgment is entered on the defendant," she said on Friday (Dec 15).

Friday was fixed for hearing the application for summary judgment after the parties failed to reach a settlement.

At Friday's proceedings, Muhammad Shafee was represented by counsel Datuk Seri Rajan Navaratnam, while senior revenue counsel Norhisham Ahmad appeared for LHDN.

A summary judgment is obtained when the court decides on a case through written submissions without a full trial and calling witnesses.

On Sept 27, 2021, LHDN applied for its suit against Muhammad Shafee, which was filed on May 6, to be decided through summary judgment, on grounds that the defendant had failed to pay the income tax arrears amounting to RM9,414,708.32 within the stipulated time.

LHDN claimed that he failed to pay the amount of income tax owed for the assessment years 2011, 2012, 2013, 2014 and 2016 including the increase on the imposed sum.

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