The Supreme Court on Friday dismissed the suit filed by the Osun State Attorney General against the Attorney General of the Federation over the withheld allocations belonging to the 30 local governments in the state.
In a split decision of six to one, the court held that the Osun Attorney General had no legal right to institute the case on behalf of the elected council officials.
The justices ruled that only those who won the council election and have been inaugurated are the rightful persons who can sue or be sued directly in matters relating to local government funds.
Although the court faulted the federal government for withholding the funds, it stated that the case was wrongly filed. Justice Mohammed Baba Idris, who delivered the lead judgment, said the seizure of the funds breached the 1999 Constitution.
He noted that “the hand of the federal government was soiled” in its action and warned that allocations must be sent directly to local government accounts as required by law.
The court also dismissed contempt allegations earlier raised by the AGF against Osun State, stating that the federal government was in “more contempt” by failing to release the funds as prescribed.
Justice Idris added that there was no evidence that the Osun Attorney General was instructed by the local governments to act on their behalf, a development that stripped him of the authority to file the suit.
In a minority judgment, Justice Emmanuel Akomaye Agim disagreed with the majority, maintaining that the Osun Attorney General had the right to file the case.
He stated that withholding the allocations was capable of crippling governance at the local level.
More details will follow.
