Court rules federal government unlawfully withheld Sabah’s 40% revenue share

ByEnigma 808

The Kota Kinabalu High Court has ruled that the federal government acted unlawfully by failing to provide Sabah with its rightful 40 percent share of federal revenue for nearly 50 years. Judge Celestina Stuel Galid declared that the special grant arrangements between the federal and state governments were “unlawful, ultra vires, and irrational,” as they violated the Federal Constitution.

The court found the Second and Third Review Orders issued by both governments to be invalid and ruled in favor of the Sabah Law Society’s (SLS) application. It also issued a mandamus order, requiring the federal government to review the revenue allocation with Sabah and reach an agreement on the 40 percent share for the years 1974 to 2021 within 180 days.

The judicial review was filed by the SLS in June 2022 to challenge the federal government’s failure to uphold Sabah’s constitutional entitlement.

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  • Enigma XO avatar (80x80)

    Besides writing and being a content creator, Enigma 808 sometimes likes to watch paint dry on walls, listening to ASMR while timing snails racing. Such is life.