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Fiscal Autonomy: Why CBN Hasn’t Released Funds To 774 LGAs — FG

The Federal Government explained on Wednesday why, despite the Supreme Court’s order, the Central Bank of Nigeria, CBN, has not commenced the direct release of funds to the country’s 774 Local Government Areas, LGAs.
In separate presentations, the Attorney-General of the Federation and Minister of Justice, Mr. Lateef Fagbemi, SAN, and CBN’s Director of Legal, Mr. Kofo Salam-Alade, maintained that modalities that would enable the various LGAs to draw funds directly from the federation account were not in place.
The duo further disclosed that the necessary bodies are still profiling those who would serve as signatories to the accounts of the various LGAs.
Speaking at a state-of-the-nation discourse on strengthening local government autonomy in Nigeria, organised by the Nigerian Bar Association, NBA, the AGF revealed that shortly after the July 11, 2024, landmark judgement of the Supreme Court that granted fiscal autonomy to the LGAs, an implementation committee was set up.
READ ALSO: Governors’ Forum Speaks On LG Financial Autonomy
According to the AGF, whose speech was read by the Director of Civil Litigation, Federal Ministry of Justice, Mr. Tijjani Gazali, SAN, the committee is comprised of representatives of FG, the Association of Local Governments of Nigeria, ALGON, and the Nigerian Governors Forum, NGF.
He said the committee has been working assiduously to develop “the most practicable framework for the full implementation of the judgment, especially regarding direct payment of allocations from the Federation account to Local Government councils.”
“The committee is expected to complete its mandate any time from now and present its recommendation to Nigerians,” the AGF added, saying President Bola Tinubu determined to emancipate the LGAs as the third tier of government in the country that led his administration to drag the 36 Governors to the Supreme Court.
However, the AGF decried that despite the apex court’s judgment outlawing the illegal removal of democratically elected local government councils by State Governors, it was unfortunate that some states have continued to flagrantly carry on with the illegality.
READ ALSO: BREAKING: Supreme Court Delivers Judgment On LG Autonomy
The Justice Minister described as worrisome “the unconstitutional connivance by State Governors and their State Houses of Assemblies to wily nilly dismantle democratically elected local government structures without recourse to the rule of law and replace them with their stooges.”
“Let me state in unequivocal terms that this act is tantamount to treason and must be treated as such. While it is true that Section 308 of the Constitution grants the Governor immunity from prosecution, I wish to be clear that this flagrant disobedience to the Supreme Court judgment will have unpleasant consequences for the State as a whole, should it persist,” the AGF warned.
He said the local government structures had almost become extinct until his office took the matter before the apex court.
Meanwhile, providing more insight into why the LGAs had yet to receive funds directly from the federation account despite the Supreme Court’s order, CBN’s Director, Legal, Mr. Salam-Alade, said the apex bank had no banking relationship with the LGAs.
READ ALSO: BREAKING: Supreme Court Delivers Judgment On LG Autonomy
He said the bank had commenced the process of profiling those who would serve as signatories to the accounts of the respective LGAs in its bid to ensure transparency and accountability.
“This is all about the standard procedure in the form of KYC (Know Your Customer). Anyone who will be a signatory to the account must be profiled.
“The process is ongoing, and we are collaborating with the AGF office. We have also written to the LGAs.
“All that ALGON needs to do is encourage its members to approach the CBN within their locality. Within 48 hours, their problem will be solved.
READ ALSO: FG Drags Governors To Supreme Court, Seeks LG Autonomy
“We are using this opportunity to call on the 774 men to come forward for their documentation. No account can be operationalized without the prerequisite Customer Due Diligence, CDD,” the CBN Legal Director added.
However, contrary to CBN’s claim, a representative of ALGON at the event, Mr. Sam Akala, said he was not aware that the apex bank wrote to any LGA regarding the account opening process.
“I cannot confirm that such communication has been received officially,” he insisted, even as he expressed the readiness of ALGON to embrace the challenge of taking development down to the grassroots.
Earlier in his welcome remarks, NBA President Mazi Afam Osigwe, SAN, said the discourse aimed to hold the association to a position that would not only guarantee peace and security but also ensure that the LGAs closest to the people become functional and their finances used for the good of the people.
READ ALSO: LG Autonomy: Ondo Assembly Files To Join FG’s Suit
“There must be democracy at the Local Government level. All the other tiers of government must allow the LGs to breathe.
“If we fail to get it right at the LG level, we may be setting a stage for a greater calamity,” Osigwe, SAN, added.
In addition to Attorneys General of States and other dignitaries, the event, which featured a retired Justice of the Supreme Court, Ejembi Eko, as the guest speaker, included heads of key government agencies and senior legal practitioners in the country.
News
Shatta Wale Bailed Burna Boy From Ghana Prison After Arrest For Smoking Weed – Captan

Ghanian singer, Captan, has claimed that his former record label boss, Shatta Wale, once bailed Nigerian singer Burna Boy out of prison in Ghana after he was allegedly arrested for smoking weed.
Speaking in a recent podcast interview, Captan claimed that Shatta Wale sent him and others to free Burna Boy from police custody.
He also claimed that Shatta Wale and his group once accommodated Burna Boy when he was being hunted by some dangerous men.
READ ALSO: Wale Edun Opens Up After Sack
Captan said, “I once bailed Burna Boy out of prison in Ghana when he was arrested for smoking weed. Shatta Wale sent me and some guys to go and free him from police custody.
“There was a time we also accommodated him when some people were after his life. We helped him settle the case.”
He added that he and Burna Boy are no longer in good terms after the Nigerian artist’s fallout with his mentor, Shatta Wale.
He, however, said he and Shatta Wale are open to reconciling with Burna Boy if he asks for it.
Watch the video here
News
Children’s Day: Chaos At Ogbe Stadium As Dozens Faint

Chaos erupted on Wednesday during the Children’s Day celebration as dozens of students reportedly collapsed following a stampede triggered by the use of pepper spray.
The event,
organised by the Edo State Ministry of Education at the Samuel Ogbemudia Stadium was disrupted after some male students of Ihogbe College allegedly made uncompromising advances towards female students at the venue.
A parent who identified himself as Oboh Emmanuel said, “the behaviour of those uncultured students attracted the attention of bouncers stationed at the stadium as they rebuked the male students.”
Oboh said the affected students later regrouped and attacked the bouncers, leading to a confrontation within the crowded arena.
READ ALSO:Children’s Day: Edo Commits To Child Protection
It was gathered that in the ensuing confusion, the bouncers were reported to have deployed pepper spray in an area occupied by a large number of students.
Several students, particularly female students, reportedly fainted after inhaling the substance, while others sustained injuries after being stepped on during the ensuing melee.
The panic was said to have spread across the stadium as students, teachers and parents scampered for safety.
Many of the affected students were reportedly rushed to the Edo Specialist Hospital for medical attention.
READ ALSO: Egor LG Chair, Ogbemudia, Vice, Osawe Impeached
Reacting to the incident, Chief Press Secretary to Governor Monday Okpebholo, Dr Patrick Ebojele, said the security personnel that fired the tear gas had been detained.
He said all the students, except two, that were rushed to the hospital have been discharged.
Ebojele stated that doctors wanted to observe the students till tomorrow before allowing them to go home.
“The two students are not seriously injured. Doctors want to observe them overnight. Permanent Secretary, Ministry of Education is still at the hospital. The man who used pepper spray has been detained.
“The incident did not happen the way it is being exaggerated. All modalities were put in place to ensure the children enjoyed their day.”
News
Okpebholo Salutes Edo Muslims, Seeks Continued Support, Prayers

Governor Monday Okpebholo of Edo State has urged Muslims and all Nigerians to continue to pray for peace, unity and progress in the country even as they celebrate the annual Eid-al-Adha
The governor, who was represented by his deputy, Dennis Idahosa, stated this during the annual Eid-al-Adha celebration with Muslim faithfuls held at Government House in Benin City.
He reiterated his administration’s commitment to fairness, inclusivity and equal opportunities for all citizens irrespective of religion and tribe.
READ ALSO:ADC Penetrates Okpebholo’s District As Defections Strengthen Party in Edo Central
According to him, the present administration remains determined to building a government that reflects the diversity of Edo State, noting that competent and qualified Muslims have continued to play vital roles in his government because of their capacity, integrity and commitment to service.
“As a government, we remain committed to fairness, inclusivity and equal opportunity for every Edo citizen, irrespective of religion, ethnicity or political affiliation. This is why quality and competent Muslims are serving in key positions in our administration.”
Okpebholo appreciated the Muslim community in Edo State for their unwavering support and continuous prayers for his administration, noting that such prayers and support have contributed immensely to the peace and steady development being witnessed across the state.
READ ALSO:Okpebholo Felicitates Muslims On Eid-el-Fitr Celebration
He then called on all Nigerians to use the occasion of Eid-al-Adha to pray for the administration of President Bola Ahmed Tinubu, stressing that the country needs collective prayers, unity and cooperation to overcome its present economic and security challenges.
“I urge all Muslims and indeed all Nigerians to use this occasion to pray for our dear nation and for the administration of President Bola Ahmed Tinubu. Nigeria needs our collective prayers, unity and support as we strive to overcome our challenges and build a more prosperous future for all.”
In his remarks, the Chief Imam of Edo State, Abdulfatai Enabulele, applauded the governor for what he described as remarkable developmental strides recorded in less than two years in office.
The cleric commended the administration for ongoing infrastructural development and efforts geared towards improving governance in the state, but appealed to the government to revisit and complete some abandoned projects inherited from the previous administration for the benefit of the people.
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