Destini unit slapped with winding-up petition after failing to settle payment to IRB

KUALA LUMPUR (Sept 6): Destini Bhd’s indirect subsidiary, Destini Shipbuilding and Engineering Sdn Bhd (DSBE), has been served with a winding-up petition from the government after it failed to pay RM6.24 million of a settlement payment proposal to the Inland Revenue Board (IRB).

DSBE had been embroiled in a legal dispute with the IRB in relation to RM6.58 million it owed the agency in outstanding tax for the year of assessment 2016, which culminated with a summary judgement being granted by the High Court last year ordering DSBE to pay IRB the sum.

Subsequently, Destini said it would submit a payment settlement proposal to the IRB with a view of settling the judgement sum for the suit.

However, the group added that while DSBE made some payment to the IRB, it was unable to fulfil the settlement payment proposal it submitted to the agency.

“Therefore, IRB served a statutory notice under Section 466 of Companies Act 2016 on March 15, 2022, claiming for RM6.24 million, inclusive [of] interest and cost awarded by the court,” the group said in a Bursa Malaysia filing on Tuesday (Sept 6).

Destini said DSBE filed a fortuna injunction application on March 28 in a bid to prevent a winding-up petition being filed against it, but this was dismissed by the court, which led to the government filing the winding-up petition on Aug 15.

Moving forward, Destini said it is in negotiation with the IRB and will submit a payment settlement proposal.

“The hearing date of the winding-up petition is fixed on Nov 8, 2022,” it added.

Destini said DSBE is not a major subsidiary of the company and that the RM3 million investment in DSBE was made via its wholly owned subsidiary Destini Armada Sdn Bhd.

It added that the winding-up petition has no financial and operational impact on the group, in view of the judgement sum of RM6.58 million having already been incorporated as tax liability in its financial statements.

Shares in Destini closed 1.5 sen or 15.79% lower at eight sen, giving the group a market capitalisation of RM133.08 million.