The Government of Malaysia is battling an international arbitration award that threatens the sovereignty and security of the country.
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What Malaysia is fighting for?

In February 2022, eight individuals who claimed to be the descendants of the defunct Sultan of Sulu, Sultan Jamalul Kiram II, received a purported final award worth $14.92 billion in an arbitration proceeding against the Government of Malaysia. The said award was delivered by the Spanish arbitrator, Dr Gonzalo Stampa.

The Sulu case is a sophisticated abuse of the arbitral process and international law. It is an attempt to hold a sovereign State to ransom, and the continued existence of the award tarnishes the reputation of the globally respected arbitration system.

Malaysia is pursuing legal proceedings across jurisdictions to defeat the Claimants’ unlawful enforcement campaign. On 9 December 2025, the Paris Court of Appeal, sitting at the seat of the arbitration, fully annulled the purported Final Award, confirming that the arbitrator lacked jurisdiction and that no valid arbitration agreement bound Malaysia.

In November 2023, the Paris Courts oversaw the withdrawal of the measures registered by the Claimants on the diplomatic buildings owned by Malaysia in France. The Paris enforcement judge quashes its prior ex parte order that authorized a statutory mortgage to be registered on these diplomatic buildings. The judge also recorded the Claimants’ withdrawal from the proceedings they had initiated to seize these diplomatic buildings.



On 22 December 2023, the Spanish Criminal Court found Dr. Stampa guilty of contempt of court. The Criminal Court has sentenced Dr. Stampa to six months in prison and a year ban from professional practice as an arbitrator.

In November 2024, the French Supreme Court for civil and criminal matters, the Court of Cassation, fully dismissed the challenge filed by the so-called heirs. The decision means that the Partial Award, which was the initial basis for the sham Final Award, is not recognised under French law.

“On 9 December 2025, the Paris Court of Appeal fully annulled the purported Final Award. The Sulu Special Secretariat War Room stated that the Court also ordered the Claimants to pay €200,000 in legal costs.

With these consecutive victories, Malaysia is advancing steadily towards the complete annulment of the purported Final Award in France.”

Madrid Criminal Case

On 11 December 2023, Dr. Gonzalo Stampa, the sole arbitrator responsible for the issuance of the purported Final Award against the Government of Malaysia, faced criminal trial in Madrid. He was accused of two crimes: continuing disobedience and aggravated intrusiveness for publicly attributing himself the role of anarbitrator.

In a landmark decision on 22 December 2023, the Madrid Criminal Court found Dr. Stampa guilty of contempt of court. He was sentenced to six months imprisonment and one year ban from professional practice as arbitrator for knowingly and blatantly disobeyed the clear rulings and orders from the Madrid High Court of Justice.

The Spanish criminal proceedings played no role in determining Dr. Stampa’s decision to relocate the seat of arbitration from Madrid to Paris. The criminal proceedings against Dr. Stampa were initiated after the relocation of seat took place.  

The Madrid Criminal Court’s verdict is another landmark moment for Malaysia in battling the Sulu case, demonstrating that the purported Final Award of $14.92 billion was tainted with proven criminality.
In February 2025, the High Court of Justice of Madrid dismissed the application for annulment that was filed in December 2023 by the purported heirs of the Sultanate of Sulu, who challenged the June 2021 decision which nullified the appointment of Gonzalo Stampa as arbitrator in their claim against the Malaysian Government. The purported heirs claimed that the annulment was influenced by pressure from the Spanish Ministry of Foreign Affairs to favour Malaysia. However, the High Court of Justice of Madrid firmly rejected this application, affirming that the magistrates acted solely on legal grounds and dismissing allegations of bias as "mere opinions and speculations."

“On 8 October 2025, the Spanish Supreme Court dismissed Gonzalo Stampa’s cassation appeal and upheld his conviction in full, bringing the Spanish criminal proceedings to a definitive close.”

Timeline

A timeline of the case, covering the history of the dispute dating back to the signing of the 1878 Agreement to the present day.

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FAQ

What is the current status of the dispute? Who are the claimants? See here for the frequently asked questions in this case.

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Media

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