Malaysia Oversight

Roger Chin: AGC appeal broader than let on, could hollow out ruling on Sabah’s 40pc revenue share

By MalayMail in November 14, 2025 – Reading time 2 minute
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KOTA KINABALU, Nov 14 — A Sabah lawyer has raised the alarm over the Federal Government’s appeal against the High Court ruling on the state’s 40 per cent special grant, saying it could undermine the very constitutional entitlement it is meant to protect.

Former Sabah Law Society (SLS) president Datuk Roger Chin in a statement, said the Notice of Appeal goes beyond what was conveyed by the Prime Minister’s Office and Attorney General’s Chambers (AGC) on Nov 11, which suggested that any challenge would be limited to “defects” in the judge’s reasoning.

“In effect, the appeal strikes at the core of the High Court’s decision. Although the 40 per cent formula under Article 112C remains law in theory, the Notice of Appeal challenges the orders that give it practical effect.

“If successful, the formula will be effectively unenforceable, leaving Sabah in the same position it has faced for decades,” Chin said.

He said the appeal seeks to overturn key findings, including that no lawful review occurred after 1973; that the Gazette Orders issued in 2022, 2023 and 2025 were unconstitutional; and that both the Federal and Sabah governments breached their constitutional duties.

The appeal also targets orders requiring constitutional damages and full accounting of sums owed.

“Put plainly, it seeks to preserve the form of the entitlement while removing the accountability that gives it substance. If it succeeds, Sabah may be denied almost five decades of arrears arising from non-compliance,” Chin added.

He stressed the need for transparency, saying Sabahans — and Malaysians — have a right to understand exactly what is being appealed and its implications for both future payments and past losses.

“Sabah’s request is straightforward: that the Constitution be followed and its safeguards not be reduced to words without effect,” he said.

On Tuesday, the federal government decided not to appeal the Kota Kinabalu High Court’s decision affirming Sabah’s constitutional entitlement to 40 per cent of federal revenue collected from the state — but will challenge parts of the judgment it says contain “defects” and inaccurate claims.

In a statement, the AGC said the government respects the constitutional basis of the 40 per cent Special Grant provision and will begin negotiations with the Sabah government “urgently” to implement it.



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