It is a damage bug that exists so far as I know, all versions of the game, like MK3 arcade, UMK3 arcade, PSX MKT, N64 MKT.
Baraka actually has closer to 92% life left. When you do the gotcha grab in a combo with damage protection, it reads the grab as full damage, which is about 25% but it's still DPed. In this situation it really does more like 13%. There are however real 99% combos that don't kill the opponent.