Osun LG Funds: Supreme Court Dismisses Suit Over Withheld Allocations

The Supreme Court of Nigeria has struck out a suit filed by Osun State Attorney General, Oluwole Jimi-Bada, against the Attorney General of the Federation, Lateef Fagbemi, concerning withheld local government funds in the state.

In a 6-1 decision, the apex court ruled that the Osun State Attorney General had no legal authority to file the case on behalf of the state’s 30 local governments. The court stated that only duly elected and inaugurated local government officials have the right to sue or be sued directly.

Justice Mohammed Idris, delivering the lead judgment, criticized the Federal Government for improperly withholding local government funds, describing the action as a violation of the 1999 Constitution. He urged that the allocations be directly transferred to the local government accounts. The court also dismissed the AGF’s contempt claims against Osun, noting that the federal government had acted in greater contempt by failing to release the funds as required by law.

Justice Idris emphasized that since there was no proof that the Osun Attorney General was formally instructed by the local governments, he lacked the authority to initiate the suit.

In a dissenting opinion, Justice Emmanuel Agim argued that the Osun Attorney General did have the right to file the case. He condemned the federal government’s withholding of funds, warning that it could seriously hinder the operations of local councils.

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