Stay application does not affect Sabah’s 40% claim, says Mustapha

 The Sabah and Sarawak affairs minister says the federal government just wants to provide adequate space for both parties to continue negotiations.

Sabah and Sarawak affairs minister Mustapha Sakmud said Putrajaya is compiling the data for earlier periods, particularly the era known as ‘The Lost Years’, much of which was recorded manually.

KOTA KINABALU:

 The application to suspend the implementation of a court order regarding Sabah’s 40% revenue entitlement does not affect the principle of the special grant right as provided under Articles 112C and 112D of the Federal Constitution of Malaysia.

Sabah and Sarawak affairs minister Mustapha Sakmud said the federal government’s application aims to provide adequate space for both parties to continue negotiations and conduct detailed reviews regarding the calculation of the federal government’s net revenue.

He said that since November 2025, Putrajaya has shared data on net revenue obtained from Sabah for the period 2007 to 2025 through a series of negotiation committee meetings.

“Efforts are underway to complete the data for earlier periods, particularly the era known as ‘The Lost Years’, much of which was recorded manually and requires further verification,” he said in a statement last night.

On Oct 17, 2025, the High Court of Malaysia here ordered the federal government to conduct a joint review with the Sabah state government within 90 days, and to reach an agreement within 180 days regarding the state’s 40% special grant entitlement for the period 1974 to 2021.

Mustapha said the 180-day period related to the implementation of the court order is expected to end on April 15, 2026.

“Without the suspension, both parties face the risk of committal proceedings (contempt of court) even though the appeal process has yet to be heard,” he said, adding that the application is scheduled to be heard at the Court of Appeal on March 31.

Mustapha also stressed that the stance taken by the Sabah state government and the Sabah Law Society, which objected to the application, should be respected as part of the system of checks and balances. - FMT