The Crux of the Legal Battle
On April 23, 2025, Osun State filed an originating summons at the Supreme Court of Nigeria—marked SC/CV/379/2025—with the Attorney General of the Federation (AGF) as the sole defendant. The state is alleging that the Federal Government unlawfully withheld statutory allocations due to its 30 local government councils for February, March, and April 2025, with the status of May’s allocation still pending.
Through the filings, the state prays for several orders, including:
- A declaration that the FG has no right to withhold, suspend, or seize allocations intended for duly elected local governments.
- An immediate release of all withheld funds, to be disbursed directly to the rightful local government accounts.
- An injunction restraining the FG from further interference with local government financing.
Constitutional Contours & Previous Court Rulings
Osun’s legal argument pivots on:
- Sections 162(3), (5), (6), and (8) of the 1999 Constitution.
- Section 7(1), which enshrines the existence of democratically elected local government councils.
- Judicial precedents, notably A.G. Lagos State v. A.G. Federation (2004) and A.G. Federation v. A.G. Abia State (2024).
The state asserts that a Federal High Court judgment (Nov 30, 2022) and a Court of Appeal ruling (June 13, 2025) had already affirmed the legitimacy of the February 22, 2025 local government elections, rendering any FG suspension of funds baseless.
The Federal Government’s Counter
The FG, through the AGF and input from the Ministry of Justice, has mounted a firm legal defense:
- It invokes the Supreme Court ruling in A.G. Federation v. A.G. Abia State (July 11, 2024), which mandates direct payment of local government allocations from the Federation Account to LG councils, prohibiting any state government control over those funds.
- It asserts that Osun State lacks locus standi to assert a claim on behalf of its local governments, contending that only the local councils themselves can legitimately sue for unpaid allocations.
- The FG even alleges Osun had improperly used LG funds between July 2024 and February 2025—a deed that runs contrary to Supreme Court orders—and therefore should refund the monies for redistribution.
On More Fronts: Parallel Suits and Judicial Transfers
As the Supreme Court matter unfolds, Osun State has also approached the Federal High Court in Osogbo. It is contesting a decision to transfer the earlier case from Osogbo to Abuja—warning that proceeding in the lower court could lead to conflicting verdicts with the Supreme Court’s decision.
Political Echoes
Beyond the courtroom:
- Governor Ademola Adeleke, citing a report from the Nigerian Bar Association (NBA), believes the state has been vindicated legally, urging the FG to release the seized funds, and receiving cultural endorsements from local traditional institutions.
- The rift has intensified party lines: While the PDP accuses the AGF of trampling on separation of powers, the APC defends FG’s actions as lawful enforcement of constitutional order.
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