Osun Takes FG to Supreme Court over LG Funds Seizure
The Government of Osun State has filed a suit at the Supreme Court of Nigeria against the Attorney General of the Federation (AGF) over the alleged unlawful withholding of statutory allocations meant for its 30 local government councils since March 2025.
In the originating summons filed on behalf of Osun State by a team of lawyers led by Mike Ozekhome (SAN) and Musibau Adetunbi (SAN), the state is asking the apex court to compel the federal government to release all withheld funds and to stop what it described as “an unconstitutional and arbitrary seizure” of local government allocations.
The Attorney General of Osun State argued that the AGF failed to comply with subsisting judgments of both the Federal High Court, Osogbo Division, delivered on November 30, 2022, and the Court of Appeal ruling of June 13, 2025, which recognized the local government chairmen and councillors elected on February 22, 2025.
The originating summons is supported by a 35-paragraph affidavit deposed to by the state commissioner for finance, Ogungbile Adeola Olusola.
The Osun government wants an order of the apex court restraining the AGF from paying and/or causing to be paid the statutory allocations standing to the credit of the 30 local governments in Osun State to the sacked All Progressive Congress (APC) chairmen based on nullified LG polls of October 15, 2022, and which nullification has been unchallenged.
Osun State also wants an order directing the AGF to, forthwith, release the monthly allocations and revenues due to and standing to the credit of the constituent local goverment councils of Osun State for all the months they have been unlawfully and unjustifiably withheld by the federal government, and pay same directly into the local government allocation accounts to be opened in favour of the validly elected council officials elected on 22 February, 2025 and sworn in on 23rd February, 2025.
Further, Osun wants an order directing the Defendant to, forthwith, pay the allocation, revenues and other funds accruing and due to the local government councils of the state to the validly elected council officials elected pursuant to the election conducted in Osun State on 22nd February, 2025 and sworn in on 23rd February, 2025.
Furthermore, it seeks an order of perpetual injunction restraining the federal government from further withholding, suspending, and/or seizing the monthly allocations, revenues and/or funds standing to the credit of the constituent local councils of Osun State for as long as the state has in place democratically elected councils.
Although no date has been fixed for the hearing but the spokesman to the Attorney General of the Federation, Kamarudeen Ogundele, said his office will respond by filing the necessary legal papers before the apex court.