Lim Guan Eng has given Bersatu president Muhyiddin Yassin until Wednesday (March 15) to apologise for saying the Albukhary Foundation’s tax exemption was cancelled by the former during his time as the finance minister.
If Muhyiddin (above, right) fails to apologise and withdraw his claims by the deadline, Lim said he will file a defamation suit against the former prime minister.
“Muhyiddin should apologise and retract his malicious accusations against me.
“Seeing as he is busy with the charges against him by MACC, including facing another charge from MACC on Monday, I will give him until Wednesday to state the truth and clear my name.
“If he fails to apologise and retract his malicious slander against me, I will instruct my lawyer to initiate legal proceedings for a defamation suit immediately,” Lim said in a statement today.
Lim (above, left) reportedly denied yesterday that he cancelled the tax exemption given to the Albukhary Foundation when he was the finance minister under the previous Pakatan Harapan administration.
Muhyiddin was summoned to the MACC yesterday to have his statement recorded, and among the issues raised by the anti-graft agency was the appeal against the cancellation of the tax exemption granted to the Albukhary Foundation.
Muhyiddin told reporters after the questioning that he would be charged with abuse of power for re-granting the tax exemption given to the foundation by the former BN government.
At the time, he claimed that the tax exemption was cancelled by then-finance minister Lim after Harapan came to power in 2018.
‘Playing up sentiments’
In Lim’s statement today, he said Muhyiddin’s allegations against him were baseless and meant to play up sentiments to distract the rakyat from the corruption charges the Perikatan Nasional leader is currently facing.
“It is very easy to inflame or incite the rakyat’s feelings, which could threaten public order and harmony, by accusing me of deliberately cancelling the tax exemption given to an Islamic welfare organisation,” the Bagan MP said.
Having previously challenged Muhyiddin to produce evidence to back his claims, Lim said he is confident the Bersatu leader is unable to do so.
“I am sure that Muhyiddin is unable to show the letter (of me issuing such an order) because it does not exist at all and was simply a fabrication of his,” Lim said.
A day after his questioning by the MACC on Thursday, Muhyiddin was charged at the Kuala Lumpur Sessions Court with four counts of abuse of power and two money laundering charges involving RM232.5 million.
He is also set to face another corruption charge at the Shah Alam court next Monday, according to Bersatu deputy president Ahmad Faizal Azumu.
‘Guan Eng sidestepping issue’
Muhyiddin responded to Lim in a Facebook posting today, saying that the former finance minister is not addressing the crux of the issue.
He said he had received an appeal from the Albukhary Foundation regarding the tax exemption when he was the prime minister.
He was also informed that the foundation previously received a tax exemption for its Islamic welfare work under Section 127 of the Income Tax Act.
But after Harapan took power in 2018, the Inland Revenue Board (IRB) refused to implement the exemption and imposed a 45 percent penalty tax on the foundation, he claimed.
“Lim was the finance minister in charge of the IRB then. As such, he is responsible for the decision to re-impose the tax and the penalty tax on the Albukhary Foundation,” Muhyiddin said.
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