PM Anwar explains appeal targets only judgment sections that unfairly label past governments as illegal, while Sabah’s 40% revenue entitlement stands
PETALING JAYA: While Sabah’s revenue entitlement is undisputed, some sections of the judgment exceed the court’s authority and unfairly label past federal and state governments as having acted illegally, said Prime Minister Datuk Seri Anwar Ibrahim.
He said if left unchallenged, it would suggest that every federal government, from that led by Tun Abdul Razak Hussein to the present and every Sabah administration since that of Tun Datu Mustapha Harun and Tun Fuad Stephens had acted improperly.
“This is a very serious conclusion and I urge all MPs to read the judgment carefully.
“This is not a political issue. We are not appealing the 40% entitlement but we must challenge parts of the judgment that contain inaccurate and unfair statements.
“Should the government stay silent when a court judgment declares that all federal governments since 1974 acted unconstitutionally?
“Can we simply accept such remarks calling us illegal, irrational, procedurally improper or disproportionate? Statements like this are unprecedented and implicate every past administration.
“If we do not appeal, it would mean accepting a verdict that effectively condemns all federal and state governments since 1974, which is unacceptable.”
Anwar said the appeal would not affect Sabah’s entitlement, and targets only elements of the ruling that overstepped the court’s authority.
“The federal government is bound by the Federal Constitution and existing agreements, and we fully respect the legal process.”
He said negotiations over the 40% revenue entitlement would continue although the state is under a caretaker government.
The issue was raised in Parliament by Datuk Indera Mohd Shahar Abdullah (Paya Besar) who commended the federal government for deciding not to appeal the portion of the ruling concerning Sabah’s 40% “special grant’” saying it demonstrated the government’s commitment to safeguarding Sabahans’ rights.
Shahar also asked who the federal government would negotiate with during the state election period.
In response, Anwar said technical-level discussions between the federal treasury and Sabah state officials had already begun.
“Formal discussions involving the finance minister, Sabah chief minister, the Cabinet and senior officials are scheduled to commence following the election and the establishment of a new state government. But there is no issue with initiating technical discussions now to lay the groundwork.”
He highlighted ongoing federal support for Sabah, including RM1.2 billion for energy, RM765 million for the Southern Link transmission project, RM1 billion for clean water initiatives, RM2 billion for undersea digital cable infrastructure and work on the Pan Borneo Highway.
He added that Sabah’s “special grant” was also increased to RM125.6 million in 2022, with the interim allocation now standing at RM600 million pending a final agreement under the MA63 Action Council.
“So I hope we can continue fostering unity and cooperation between the state and the federation. If we allow narrow racial or divisive sentiments to dominate it will only harm the people.”
