THE Court of Appeal, in a unanimous decision, today granted the Sabah Law Society (SLS) leave to commence judicial review proceedings to enforce a special grant to which Sabah is entitled under the Federal Constitution.
SLS is seeking to quash a 2022 gazette stating that the federal government will make grant payments to Sabah totalling RM527.2 million for the years 2022 to 2026.
It also wants to compel the federal government to hold another review under Article 112D of the Federal Constitution to "properly reflect” Sabah’s 40% revenue entitlement.
Court of Appeal judges Datuk Ravinthran N. Paramaguru, Datuk Mohd Nazlan Ghazali, and Datuk Dr Choo Kah Sing unanimously dismissed the federal attorney-general’s appeal without cost, allowing the review to proceed in the High Court.
Ravinthran said the court was not convinced by the federal government’s argument that the issues relating to the special grant are non-justiciable and beyond the court’s jurisdiction.
“The judicial review is of constitutional importance over the constitutional rights accorded to the state of Sabah and therefore, by extension, to the benefit of the people of Sabah.
“Whether (the judicial review) has merit is to be addressed at a full hearing (before the High Court),” he said.
The federal government had appealed against the Kota Kinabalu High Court’s decision to grant SLS leave to seek a judicial review.
The SLS filed the judicial review following an announcement by the federal government on April 14, 2022, regarding an agreement reached between the federal and state governments.
The SLS was seeking a declaration that the federal government’s failure to hold a second review in 1974 with the state government was a breach and contravention of its constitutional duty as stipulated under Article 112D, Clauses 1, 3, and 4 of the Federal Constitution.
On May 17, the Court of Appeal adjourned its decision and scheduled May 24 for case management.
Lawyers from the Attorney-General’s Chambers, Shamsul Bolhassan and Ahmad Hanir Hambaly@Arwi, along with federal counsels V Krishna Priya@Venugopal and Fazriel Fardiansyah Abdul Kadir had questioned the Sabah Law Society's locus standi to apply for a judicial review.
They argued the provisions under Articles 112C and 112D of the Federal Constitution are not open to court challenge because of non-justiciable financial and political considerations.
The court also granted the Sabah government’s application to intervene in the appeal.
Lawyers Jeyan Marimuthu and David Fung appeared for SLS. – June 18, 2024.
