SLS gets nod to challenge 40% revenue grant, says Federal Court


KOTA KINABALU: The Sabah Law Society (SLS) has the locus standi to seek the judicial review application over the state’s entitlement to 40% of grant revenue, according to the Federal Court.

A three-member panel led by Justice Nallini Pathmanathan decided that the High Court here could hear the judicial review.

It also denied the federal Attorney General’s application for leave to appeal SLS’ judicial review application.

Also on the panel of judges were Justices Zabariah Mohd Yusof and Rhodzariah Bujang. They made the decision after hearing SLS’s arguments through their counsel David Fung yesterday.A substantive trial will be heard at a later date.

According to the panel of judges, they decided that as SLS had the threshold locus standi to bring this judicial review application, there was no necessity for the grant of leave.

The court said this is particularly so as the issue of substantive locus standi may, if necessary, be considered in the course of the substantive judicial review on the merits.

On the issue of justiciability, it said the judgment of the Court of Appeal was comprehensive and the court saw no reason to warrant the grant of leave.

The court said as had been stated earlier, the issue dealt with whether the failure to review and provide Sabah’s special grant amounts to a breach of the relevant Articles of the Federal Constitution, and for the relevant remedies.

“That is not a matter of policy. Therefore, the grant of leave is not warranted and the matter should proceed to be heard on its substantive merits,” the court said.

In welcoming the decision, SLS president Mohamed Nazim Maduarin said this case sought to address the long-overdue review of Sabah’s special grant under Article 112C of the Federal Constitution, which has not been properly reviewed since 1970.

“The court’s decision allows us to continue pursuing this matter in the interest of Sabah’s rightful financial entitlements,” he said when contacted.

He said SLS remains committed to ensuring that the Federal Government fulfils its obligations under the Malaysia Agreement 1963 and they look forward to the substantive hearing of the case.

In June, the Court of Appeal here unanimously dismissed the federal Attorney General’s appeal against the leave granted to SLS to proceed with a judicial review of the state’s constitutional right to receive 40% of its special grant revenue. In dismissing the appeal via online proceedings, the three-member panel decided that SLS had locus standi for the review.

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