IRB to probe GISB’s unpaid taxes: IGP

Investigation into company for organised crime could see police using the Security Offenses (Special Measures) Act 2012 (Sosma)

11:27 AM MYT

 

KUALA LUMPUR — Investigations into Global Ikhwan Services and Business (GISB) Holdings have found that the company has not paid taxes “since it was established”, said Inspector General of Police Tan Sri Razarudin Husain.

He told Utusan Malaysia that police had investigated the company under the Income Tax Act 1967 and discovered its violation of the law.

However, Razarudin said the Inland Revenue Board (IRB) would be conducting further checks.

He reiterated that police were treating their probe into GISB as an organised crime investigation and did not deny the possibility of using the Security Offenses (Special Measures) Act 2012 (Sosma) for detentions.

Scoop previously reported that GISB Holdings’ last filed its annual report for its financial year ending on December 31, 2021, with the report and its accompanying financial statements circulated in November last year. 

In delivering its basis for a qualified opinion, company auditors Ismawadee & Co noted that they were unable to review the group presentation of the company as its subsidiaries had not prepared their audited accounts

12 GISB Holdings-affiliated companies have also failed to submit their annual reports and audited financial statements, leading to fines totalling RM4.4 million issued by the Companies Commission of Malaysia.

GISB Holdings began as Global Ikhwan was registered in 2008, two years before the death of banned Al-Arqam leader Ashaari Muhammad.

Before this rebranding, it was called Rufaqa Corp in a bid to distance itself from the Arqam Group, the business arm of the Al-Arqam movement which was declared illegal by the National Fatwa Council in 1994.

Last night, Razarudin in a statement said police are looking at prosecuting GISB Holdings for failing to pay wages to employees after receiving 10 reports from people working at company premises. 

GISB is being investigated under a slew of laws, including the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA), Anti-Trafficking in Persons and Anti-Smuggling of Migrants (ATIPSOM) Act 2007, Child Act 2001, Sexual Offences Against Children Act 2017, Care Centres Act 1993 and various shariah state enactments.

The probe, dubbed “Op Global” was launched on September 11 beginning with raids on 20 welfare homes in Selangor and Negeri Sembilan linked to the group over allegations of child abuse and exploitation.

572 victims have been rescued, while over 300 individuals have been arrested. Several people linked to the care homes and schools have been charged, including for child abuse and for criminal intimidation. 

GISB Holdings’ CEO Datuk Nasiruddin Mohd Ali and his wife are among those arrested and are currently under remand. — September 27, 2024

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