PUTRAJAYA, Aug 13, 2026 – The Federal Court today dismissed the Kedah state government’s bid to appeal against earlier rulings that struck down its move to halt the issuance and renewal of business licences for lot tery operators. A three‑judge panel led by Datuk Rhodzariah Bujang ruled unanimously that Kedah failed to meet the threshold under Section 96(a) of the Courts of Judicature Act 1964, ordering the state to pay RM50,000 in costs.
Kedah Appeal
The decision affirms the Court of Appeal’s majority ruling in December 2025, which held that Kedah’s directive was irrational and unconstitutional, as gambling licences fall under federal jurisdiction. Justice Faizah Jamaluddin had noted the state’s blanket ban exceeded its powers under the Federal Constitution. Lawyers for the lottery operators argued Kedah’s appeal raised no novel legal questions. With the ruling, operators may now apply for licences, as local authorities cannot reject them on the basis of the annulled policy.
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