The Malaysian finance ministry has dismissed allegations made by Kedah Chief Minister Sanusi Nor, who claimed the federal government was not effectively controlling gambling or issuing new permits within the state.
Local media reported on Thursday that the ministry affirmed no new gambling licenses have been issued and that the total number of licensed gambling establishments has remained unchanged since the 1990s. The ministry stated, "The number of existing licenses and permits remain the same as those approved since the 1990s," underscoring the Madani government’s commitment to a rigorous and responsible management of licensed gambling activities, along with stringent regulations.
This response follows a significant legal decision on August 12, when the Federal Court rejected Kedah’s request to overturn an earlier ruling that prevented the state government from denying renewals for pool betting and lottery licenses. The three-judge panel concluded that Kedah had not satisfied the criteria set out in Section 96(a) of the Courts of Judicature Act 1964, which governs the procedure for challenging civil decisions. Consequently, Kedah was ordered to pay RM50,000 ($12,397) in legal costs.
Previously, the Court of Appeal had ruled against state-enforced wide bans on gambling, reiterating that such decisions should be based on specific premises-related considerations—such as safety and location—rather than general moral objections against gambling.
The finance ministry further noted that under the leadership of the Malaysian Islamic Party from 2020 to 2022, no actions were taken to abolish licensed gambling or revoke existing permits. Instead, the number of special lottery draws increased from eight to 22 annually. However, the current Madani administration has reverted this number back to eight draws.
Earlier this year, Malaysian Deputy Prime Minister Datuk Seri Fadillah Yusof indicated that a new law is being considered to combat illegal gambling. This legislation may be enacted as a special act or integrated under the current cybercrime law, referring back to the 1953 Common Gaming Houses Act, which classifies gaming as "the playing of any game of chance or of mixed chance and skill for money or money’s worth."
