Former Public Protector Thuli Madonsela's recommended remedial actions after her investigation into State capture were wise, necessary, rational and appropriate, the North Gauteng High Court in Pretoria found on Wednesday.

In a landmark and scathing judgment, the full Bench of the court, led by Judge President Dunstan Mlambo, dismissed President Jacob Zuma's application against Madonsela's report.

The court found that Zuma must institute a commission of inquiry into State capture within 30 days, which would be headed by a judge appointed by Chief Justice Mogoeng Mogoeng, as per the "binding" remedial actions put forward by Madonsela.

Zuma was also found to be personally liable for the cost of his legal challenge, as well as his aborted application to halt the report from being released.

"The commission of inquiry is to be given powers of evidence collection that are not less than that of the Public Protector," Mlambo ruled.

The commission was ordered to complete its task, and present a report with findings and recommendations, within 180 days.

"The president shall submit a copy [of the eventual report], with an indication of his intention regarding the implementation to Parliament, within 14 days of releasing the report."

Mlambo found that Zuma was compromised and had a "clear personal interest in the outcome of the inquiry", and was at the centre of the State of Capture report.

"None of the grounds of review [in Zuma's application] has any merit... The remedial action [of the Public Protector] is lawful and appropriate."

He described Zuma's actions as "completely unreasonable" and "grossly remiss".

He said Zuma was irrational and his conduct fell far short of what was required of the president in the Constitution.

After Mlambo handed down the judgment, the court erupted into applause and cheers.