Sabah chief minister Shafie Apdal has refused to apologise to his predecessor Musa Aman or pay RM1 billion in damages to charity over a claim that the latter had caused RM872 million to go missing from Yayasan Sabah.

"Yes, we have received their letter of demand and that they will sue us for RM1 billion. But no matter, we’ll see them in court," Shafie was quoted as saying by FMT.

"This is for the importance of the Sabah people, and they need to know what happened to the wealth owned by Yayasan Sabah," he added.

On Friday, Yayasan Sabah held a press conference announcing it filed a claim to recover RM872 million that was allegedly missing due to purported “dubious” logging contracts issued during Musa's time as chairperson.

Musa, through his lawyer Tengku Fuad Tengku Ahmad, has denied wrongdoing and had sought reparations from Shafie and two of the foundation's trustees.

This includes paying RM1 billion paid to a charity of Musa's choosing and a public apology.

The Umno veteran served as chief minister for 15 years, from 2003 to 2018.

Following BN and Umno’s fall from federal power in the 14th General Election, he was charged for corruption and money laundering over timber concessions in the state.

Last week, Musa was acquitted on all 46 charges after the prosecution applied to withdraw them. The case did not make it to trial.

Established in 1966, state-owned Yayasan Sabah holds the most logging concessionaires in the state.