Putrajaya allocating more for Sabah than the federal revenue collected in the state does not excuse it from its obligation to return 40 percent of said revenue, a senior lawyer said.

Former Sabah Law Society (SLS) president Roger Chin explained that this is because federal expenditure should not count towards the special grant owed to Sabah.

"The federal government cannot mix up its ordinary spending with its constitutional obligation.

"Money spent on schools, hospitals, roads, or security is part of the federal government’s duty to all Malaysians under the federal system - not part of the 40 percent special grant owed specifically to Sabah," he told Malaysiakini.

"The Constitution (provision) is not about generosity. It is about obligation, transparency, and respect for the promises that built Malaysia," he added.

Chin was SLS president when it filed the judicial review, which led to the High Court affirming Sabah's 40 percent revenue rights.

READ MORE: KINIGUIDE | What High Court's 40pct revenue ruling means for Sabah

He was responding to Prime Minister Anwar Ibrahim's remarks this morning regarding the entitlement.

‘Govt allocated RM17b for Sabah’

When quizzed by a member of the public about when Putrajaya would honour its constitutional duty, Anwar retorted that the federal government allocated RM17 billion for Sabah, compared to RM10 billion in federal revenue collected from the state.

Under Article 112C of the Federal Constitution, the 40 percent revenue share is supposed to be paid in the form of a special grant - which Sabah would have full control over.

In Budget 2026, Anwar said the special grant for Sabah would be RM600 million.

Based on the RM10 billion figure cited by Anwar, the 40 percent revenue special grant would be RM4 billion.

The prime minister said today that the quantum of payouts was still being discussed, and that the government had not yet decided whether to appeal the High Court's ruling.

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