State governors have begun a fresh lobbying against the enforcement of Local Government Areas autonomy.
This is ahead of the submission of the report of the 10-member inter-ministerial committee on the implementation of the Supreme Court ruling next week.
The panel, headed by the Secretary to the Government of the Federation, George Akume, has concluded its assignment and is expected to submit its report on or before October 13, according to findings.
Under former President Muhammadu Buhari, the Nigerian Financial Intelligence Unit issued a regulation, effective from June 1, 2019, banning transactions on State and Local Governments Joint Accounts.
Funds were sent directly to the accounts of the local governments. It also limited cash withdrawals from local governments accounts to a maximum amount of N500,000 per day with penalties for banks that failed to comply.
However, state governors, under the aegis of the Nigerian Governors’ Forum, kicked against this regulation and the NFIU eventually capitulated.
In May, the Federal Government, represented by the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, filed a lawsuit to challenge the governors’ authority to receive and withhold federal allocations meant for Local Government Areas.
The Supreme Court, on July 11, 2024, gave a landmark judgment affirming the financial autonomy of the 774 LGs in the country and ruled that governors could no longer control funds meant for the councils.
Also, on August 20, the Federal Government instituted a 10-member inter-ministerial committee to implement the Supreme Court’s ruling on local government autonomy.
In his broadcast marking Nigeria’s 64th Independence anniversary on Tuesday, President Tinubu pledged that his administration would uphold the financial autonomy of local governments, as affirmed by the Supreme Court.
The President said, “As part of our efforts to re-engineer our political economy, we are resolute in our determination to implement the Supreme Court judgment on the financial autonomy of local governments.”
About three officials, including a source in the Presidency, who spoke on condition of anonymity as they were not authorised to speak on the issue, told The PUNCH that governors were pressuring top officials to soft-pedal on the implementation of the apex court judgment.
The Presidency official, however, stressed that the President was committed to implementing the Supreme Court ruling.
He stated, “The process is on and governors are already lobbying to stall the implementation of the apex court ruling as the panel prepares to submit its report next week.
“The implementation will start any moment now. The ministries of finance and justice are working to finalise details of implementation.”
