PUTRAJAYA: The Attorney General’s Chambers (AGC) has announced that it will not appeal the recent High Court ruling, which affirms Sabah’s entitlement to 40% of the net revenue generated from the state.
The AGC added that the decision not to appeal the ruling was made after a special Cabinet meeting to discuss the matter.
“As such, the Federal Government will commence the process of negotiations with the Sabah government immediately,” the AGC said in a statement yesterday.
The AGC, however, disputed the court’s reasoning behind the judgement on the abuse of power by the Federal Government and its failure to uphold obligations since 1974.
On Oct 17, the Kota Kinabalu High Court ruled in favour of the Sabah Law Society’s (SLS) judicial review.
The court decided that the Federal Government had acted unlawfully by failing to fulfil Sabah’s constitutional entitlement to 40% of the net federal revenue derived from the state for nearly five decades.
The Federal Government must commence negotiations and carry out a review on the grant due for the lost years within 90 days of the court’s decision.
Additionally, it must finalise settlement repayments within 180 days after the conclusion of these negotiations.
On Monday, Datuk Ewon Benedick tendered his resignation as the Entrepreneur Development and Cooperatives Minister.
He recently stated that he would resign from the federal Cabinet if Putrajaya chose to appeal the October High Court ruling that upheld Sabah’s entitlement to 40% of the net revenue generated from the state.
The Upko president said he would chair a special party supreme council meeting to discuss the “Sabah First” agenda, which has always been the basis of its political struggle.
Prime Minister Datuk Seri Anwar Ibrahim said Ewon’s resignation from the Cabinet was premature, but he understood how Ewon “had felt pressured by this situation”.
