Malaysia Oversight

AGC’s stance on 40% revenue share case justifies my resignation, says Ewon

By FMT in November 12, 2025 – Reading time 2 minute
Ewon quits as entrepreneur development and cooperatives minister


ewon benedick
Upko president Ewon Benedick resigned as entrepreneur development and cooperatives minister on Saturday, in view of the AGC’s stance on Sabah’s 40% revenue entitlement case. (Bernama pic)
PETALING JAYA:

Upko president Ewon Benedick says the position taken by the Attorney-General’s Chambers (AGC) in respect of the case involving Sabah’s 40% revenue share entitlement justifies his resignation from the Cabinet.

The AGC said yesterday that the federal government would not be challenging the Kota Kinabalu High Court’s ruling last month upholding Sabah’s constitutional entitlement to 40% of federal revenue collected from the state.

In a statement, the AGC also said there were “defects” in Justice Celestina Stuel Galid’s finding that a post-2021 review conducted by the federal government was unlawful, irrational, procedurally flawed and disproportionate.

“The federal government intends to appeal these defects,” the AGC said.

In his response, Ewon noted that while the AGC’s statement affirmed Sabah’s entitlement to revenue, a reversal of other aspects of the judgment by an appellate court could jeopardise Sabah’s claim to 40% of federal earnings generated within the state.

“An appeal is an appeal. Even if you are only appealing the grounds of judgment, it remains an appeal. I tendered my resignation as a matter of principle,” the Penampang MP in a statement.

The AGC’s statement was issued following a special Cabinet meeting yesterday to discuss the Kota Kinabalu High Court’s Oct 17 ruling on a judicial review application filed by the Sabah Law Society against the federal government.

The Kota Kinabalu High Court ruled that had acted unlawfully by failing to honour Sabah’s entitlement to a 40% share of revenue earned in the state for nearly five decades.

Ewon resigned as entrepreneur development and cooperatives minister on Saturday, in view of the AGC’s stance on Sabah’s 40% revenue entitlement.

He cited a failure by the federal government to uphold the Malaysia Agreement 1963 and Sabah’s constitutional rights as his reason for quitting his Cabinet post.



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