THE Kedah state government will challenge the Court of Appeal’s decision that deemed its refusal to renew gambling and lottery licences unconstitutional, taking the matter to the Federal Court.
Kedah Chief Minister Datuk Seri Muhammad Sanusi Md Nor stated the government’s position would not change, emphasising that the decision aligns with the mandate given by voters to uphold policies based on moral and Islamic values.
“We will not stop here, we will fight. I am disappointed with the decision, but we will bring this case to the Federal Court. We pray that our arguments are presented clearly, effectively, and understood. This is the wish of the people who elected us — why should their choice not be respected?” he said.
Sanusi made the remarks during the 41st anniversary celebration and launch of the PAS Sik electoral machinery for the 16th General Election.
The Court of Appeal on 12 December rejected Kedah’s appeal by a majority decision of 2-1, upholding the High Court’s ruling that the state’s directive to not issue or renew gambling licences was unconstitutional.
Judges Datuk Dr Lim Hock Leng and Datuk Faizah Jamaludin found the appeal lacked merit, while Chief Judge of Sabah and Sarawak, Datuk Azizah Nawawi, dissented.
The Court of Appeal ruled that matters relating to gambling and lottery licences fall under the jurisdiction of the Ministry of Finance, which issues and regulates such licences.
Sanusi defended the state’s policy, stressing that Kedah acted within its powers in line with its policy to not renew gambling premises licences. “As a government, we can implement policies according to existing law.
“Our policy is clear: no further renewal of gambling premises licences in Kedah,” he said.
He noted that the policy is being challenged by 12 gambling operators, including two local businesses, with the remaining companies from other states, represented in court by lawyers affiliated with DAP.
Kedah’s approach mirrors similar policies in Kelantan and Terengganu, which have long restricted gambling expansion.
The Chief Minister also raised concerns about the constitutional position of Islam as the Federal religion under Article 3, noting that implementing value-based Islamic policies remains limited under current law.
“The law is still ‘kafir’, I say kafir because divine prohibitions on gambling and alcohol remain major sins, yet they cannot be fully enforced under this legal framework,” he said.
He expressed frustration over the denial of state authority under Section 9 of the Local Government Act 1976 (Act 171).
“We have powers over licences, but it is said that the state cannot direct local authorities even though Section 9 explicitly grants us such powers. Yet, in matters of gambling, the state is said to exceed federal jurisdiction,” Muhammad Sanusi added. - December 22, 2025
