The Supreme Court has delivered a judgment in the suit instituted by the Federal Government against the 36 state governors concerning local government autonomy.
The Attorney General of the Federation and Minister of Justice, Lateef Fagbemi (SAN), sought full autonomy and direct fund allocation to the 774 local governments in Nigeria.
The Federal Government, in its suit predicated on 27 grounds, accused the state governors of gross misconduct and abuse of power.
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The government requested the Supreme Court to declare that funds allocated to local governments from the Federation Account should be paid directly to the local governments rather than being funneled through the state governments.
Additionally, the government sought an order restraining the governors and their agents from tampering with or spending funds meant for local governments, especially in the absence of democratically elected local government systems in the states.
In the lead judgment read by Justice Emmanuel Agim, the apex court declared it unconstitutional for governors to withhold funds intended for Local Government (LG) administrations.
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Justice Agim emphasized that the refusal of state governments to grant financial autonomy to local governments has persisted for over two decades.
He pointed out that local governments have long been deprived of their rightful funds by state governors acting in their stead.
Justice Agim stated that the 774 local government councils in the country should manage their funds independently and dismissed the preliminary objections raised by the defendants, the state governors.
He affirmed that the Attorney General of the Federation has the right to institute the suit to protect the constitution.
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Consequently, the Supreme Court directed that henceforth, Local Government allocations from the Federation Account should be paid directly to the local governments. This landmark ruling is expected to significantly impact the governance and financial management of local governments across Nigeria.