KUALA LUMPUR: The money laundering and tax evasion charges against Datin Seri Rosmah Mansor should be dismissed as they are flawed in law, the High Court heard today.
Rosmah's lawyer, Datuk Fioroz Hussein Ahmad Jamaluddin, said her quality of life has been jeopardised due to the procedural unfairness in the case.
The senior lawyer argued that the prosecution should never have incorporated Section 112 of the Income Tax Act (ITA) into the Second Schedule of the Anti-Money Laundering, Anti-Terrorism Financing, and Proceeds of Unlawful Activities Act 2001 (AMLATFA), as it infringes on personal liberty.
Section 112 of the ITA addresses the failure to furnish a return or give notice of chargeability, while the Second Schedule outlines the predicate or serious offences that can lead to a money laundering investigation.
"We emphasise that simply failing to file a tax return or provide notice of chargeability should not be considered as generating proceeds from unlawful activities.
"It is general impossibility that the mere non-declaration of income tax in itself can generate the proceeds of an unlawful activity. "This incorporation exposes a large portion of the population to prosecution under AMLATFA for merely failing to declare their income tax.
This should not have been intention of Parliament when it had enacted the relevant legislation."
Firoz said this in his submission to dismiss 17 money laundering and tax evasion charges involving over RM7 million against the wife of the incarcerated former prime minister Datuk Seri Najib Razak before judge K. Muniandy.
He said the incorporation of the said provisions clearly amount to an abuse of court's process in which it has diminished Rosmah's quality of life, which is a facet of the right protected under Article 5 of the Federal Constitution.
Rosmah's quality of life has been diminished by the unlawful charges, as she is now forced to pay legal fees and has posted a RM1 million bail.
"She also needs to attend court frequently for every mention, case management, trial, and hearing as well as meetings with counsel.
"She also constantly worries about the matter and her defence which might result in her being sentenced to imprisonment, thereby affecting her mental health."
Rosmah was charged in the Sessions Court here on Oct 4, 2018, before the case was transferred to the High Court.
She is facing 12 charges of money laundering involving RM7,097,750 and five charges of failing to declare her income to the Internal Revenue Board.
She is accused of committing the offences between Dec 4, 2013 and June 8, 2017.