The Malaysian finance ministry has firmly countered accusations from Kedah Chief Minister Sanusi Nor regarding the federal government’s handling of gambling permits. In a statement reported by local media on Thursday, the ministry clarified that it has not issued any new gambling licenses since the 1990s, maintaining that the number of licensed outlets has been stable since then.
The ministry emphasized the Madani government’s dedication to a "stern and responsible approach" in regulating gambling activities.
This clarification comes on the heels of a recent legal ruling from the Federal Court on August 12, which dismissed a request from Kedah to reverse a decision that prevented the state from denying the renewal of licenses for pool betting and lottery operations. A three-judge panel determined that Kedah failed to meet the necessary legal criteria outlined in Section 96(a) of the Courts of Judicature Act 1964 to challenge a civil judgment. Consequently, the state was ordered to pay RM50,000 ($12,397) in legal fees.
Previously, the Court of Appeal had indicated that states cannot impose sweeping bans on gambling based solely on moral objections. Their ruling emphasized that licensing considerations must focus on specific factors related to the premises, such as safety, sanitation, nuisance, and location appropriateness, rather than broad anti-gambling ideologies.
The finance ministry further noted that during the period from 2020 to 2022, when the Malaysian Islamic Party was part of the federal government, there were no initiatives to eliminate licensed gambling or retract existing permits. During that time, the government actually increased the number of special lottery draws from eight to 22 per year, a change that has since reverted to eight under the current Madani administration.
Earlier this year, Deputy Prime Minister Datuk Seri Fadillah Yusof announced an impending review of a new law aimed at tackling illegal gambling. This proposed legislation is intended to either be enacted as a special act or integrated into existing cybercrime laws, such as the 1953 Common Gaming Houses Act, which defines gaming as the conduct of any game of chance or a combination of chance and skill for monetary gain.
