Malaysia

AGC to study Sabah 40pc grant ruling, awaits High Court’s written judgment before next move

The AGC said the court had directed the federal and Sabah governments to conduct a further review of the special grant for the years 1974 to 2022.

Updated 11 months ago · Published on 18 Oct 2025 7:48PM

AGC to study Sabah 40pc grant ruling, awaits High Court’s written judgment before next move
The AGC will study the grounds of judgment from the Kota Kinabalu High Court upon receiving them, before determining its next course of action - October 18, 2025

THE Attorney General’s Chambers (AGC) will study the written grounds of judgment from the Kota Kinabalu High Court regarding Sabah’s entitlement to 40 per cent of federal revenue derived from the state before taking any further action.

In a statement today, the AGC said the court had directed the federal and Sabah governments to conduct a further review of the special grant for the years 1974 to 2022.

It added that a central legal dispute in the case was the interpretation of Articles 112C and 112D of the Federal Constitution.

“The AGC will study the grounds of judgment from the Kota Kinabalu High Court upon receiving them, before determining its next course of action,” the statement read as reported by Bernama.

On Thursday, the High Court ordered the federal and Sabah governments to review the 40 per cent special grant entitlement for 1974 to 2021, giving them 90 days to complete the review and 180 days to reach a final agreement.

The judge made the ruling after allowing the Sabah Law Society’s (SLS) application for a judicial review, which contended that both the federal and Sabah governments had breached their constitutional duties by failing to legally review the payments.

The case centred on the interpretation of Articles 112C and 112D of the Federal Constitution. Article 112C deals with special grants and the assignment of revenue to Sabah and Sarawak, while Article 112D provides for periodic reviews of these grants. — Bernama

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