FIRST FEDERAL-SABAH GOVT TALKS ON 40 PCT REVENUE SET FOR NOV 17- ARMIZAN

PUTRAJAYA, Nov 14 (Bernama) -- The first official-level discussion between the Federal and Sabah governments regarding the Special Grant to Sabah based on the 40 percent revenue provision will be held on Nov 17 (Monday) at Menara Kinabalu, Sabah.

Sabah's representative for the Special Meeting of the Technical Committee of the Malaysia Agreement 1963 Implementation Action Council, Datuk Armizan Mohd Ali, said the Federal Government's delegation will be led by the Chief Secretary of the Treasury, Datuk Johan Mahmood Merican, while the Sabah government will be represented by its State Secretary, Datuk Safar Untong.

Armizan, who is also the Minister of Domestic Trade and Cost of Living, said the discussion is a result of the Cabinet's decision to accept the advice of the Attorney General's Chambers (AGC) for the Federal Government not to appeal the matter.

"As advised by the AGC, the Federal Government will not appeal in the context related to this 40 percent right as the basis for determining the amount or policy of the Special Grant to Sabah under Article 112C (1)(a) of the Federal Constitution.

"This is the decision that has been made, which has never been implemented by any previous government. This is a new matter. Today's Cabinet meeting also decided that discussions must be held as soon as possible," he said, after the weekly press conference of Communications Minister, Datuk Fahmi Fadzil, here today.

"This shows the seriousness of the Federal Government in implementing the High Court's decision, and that we must fulfil our responsibility for the Special Grant to Sabah," said the Papar member of parliament.

He was appointed to the position, replacing Datuk Ewon Benedick, who recently announced his resignation as a member of the Cabinet.

The AGC, in a statement today, announced that the Federal Government will not appeal the issue of the Special Grant to Sabah based on the 40 percent revenue provision, and will proceed with negotiations with the Sabah State Government as soon as possible.

The AGC also informed that it had filed a Notice of Appeal at the Kota Kinabalu High Court yesterday regarding specific parts of the grounds of judgment dated Oct 17.

-- BERNAMA