KOTA KINABALU: Chief Minister Datuk Seri Hajiji Noor hopes negotiations with the federal government on Sabah’s special grants for the Lost Years continue in good faith following the Court of Appeal’s decision to allow a stay on the Kota Kinabalu High Court order.
"Notwithstanding the court proceedings, it is hoped that negotiations will proceed in good faith towards reaching an agreement with the Federal Government," Hajiji said.
He said this following Monday’s decision to grant a stay order on the Oct 16 Kota Kinabalu High Court’s order for the special grant review for the Lost Years (1974-2021) to be reached by the two governments within 180 days and to pay Sabah's 40% entitlement pending the Federal Government's appeal.
He said the granted stay order is procedural and maintains the status quo until the Federal Government's appeal has been heard.
"It does not set aside the existing High Court Orders granted.
"Whilst the High Court Order to hold a review is for the Lost Years [1974 - 2021], it should not prevent a review for the current years, given that the Federal Government does not dispute the 40% formula and the need to hold a review," he said.
The Chief Minister reiterated the State Government's opposition to the stay of the High Court order, though he emphasised that the government respects the court's decision.
“This is an ongoing process, and the State Government will continue to discuss the matter and seek a solution,” he stressed.
Hajiji said the Federal Government did not appeal the October 2025 Kota Kinabalu High Court ruling on Sabah’s Constitutional right to 40% of net federal revenue collected and Prime Minister Datuk Seri Anwar Ibrahim has pledged to honour it.
Tentative dates for the Federal Government's appeal hearing against the Kota Kinabalu High Court ruling have been set between October 27 to Oct 30 2026 with an e-review fixed for April 13, 2026, to confirm the actual hearing date.
