Connect with us

News

Autonomy: 774 LGs challenge FG, states in court Tuesday

Published

on

The Federal High Court sitting in Abuja will on Tuesday hear a suit filed by the Association of Local Governments of Nigeria against the Central Bank of Nigeria and others over the implementation of local government autonomy.

The suit, marked FHC/ABJ/CS/353/2025, was instituted by the Registered Trustees of ALGON against the Attorney General of the Federation, the Minister of Finance, state Commissioners for Finance, and 21 others.

Other defendants include the Minister of Budget and National Planning; Accountant-General of the Federation; the Revenue Mobilisation, Allocation and Fiscal Commission; the Nigerian National Petroleum Company Limited, various commercial banks, and one Bello Lawal.

Following the Supreme Court judgment of July 11, 2024, which granted financial autonomy to LGs, ALGON filed a suit seeking an order restraining the disbursement of funds to local governments without its approval.

Advertisement

Additionally, ALGON demands that the 774 local councils be granted representation at Federation Account Allocation Committee meetings where allocations are discussed.

ALGON Secretary-General, Mohammed Abubakar, confirmed the suit hearing date to The PUNCH on Sunday.

In its originating summons, ALGON trustees’ prayers include: “A declaration that, given the Supreme Court decision on 11th July 2024, in Suit No: SC/CV/343/2024, between Attorney-General of Federation vs Attorney-General, Abia State and 35 Ors, Constitution of ALGON, 1999, the 1st to 8th defendants cannot disburse monies to the 774 local government councils in Nigeria, through the 9th to 23rd defendants or any other person whatsoever, without the plaintiff authorising, approving said 9th to 23rd defendants or any other person whatsoever after conducting due diligence on them to avert any diversion of the funds of the local government councils.

“A declaration that, given the Supreme Court decision on July 11, 2024, the 1st to 7th defendants or any other person whatsoever cannot discuss, approve, disburse or in any other way whatsoever deal with the monies accruing to the 774 local government councils in Nigeria without the representation of the local government councils at such deliberations, discussions, committees, howsoever called, including at the Federation Account Allocation Committee chaired by the 2nd defendant.”

Advertisement

Furthermore, ALGON contends that, while the Supreme Court judgment intends to liberate the local government administration, the AGF, Ministry of Finance, state Commissioners of Finance and CBN have taken “precipitate action to frustrate the implementation of the decision.”

ALGON, through its counsel, Okechukwu Uju-Azorji, further claimed that the 9th to 23rd defendants, which are the commercial banks, are already taking steps “to be the conduit pipe or warehouse from which any money or allocation meant for the local government councils will be collected.”

Meanwhile, nearly all defendants have filed preliminary objections, challenging ALGON’s locus standi to initiate the suit.

The CBN, represented by Sam Ologunorisa (SAN), submitted a notice of preliminary objection dated March 24, 2025, urging the court to dismiss the suit for lack of jurisdiction.

Advertisement

The apex bank contends that ALGON is not a legal entity recognised by the Constitution or any statute, and was not a party or beneficiary in the Supreme Court case upon which it now relies.

“The plaintiff/respondent was not a party to or named as a beneficiary of the Supreme Court decision in Attorney General of the Federation vs Attorney General of Abia State and Ors. SC/CV/343/2024 was delivered on 11th July 2024, upon which the plaintiff/respondent purports to rely for this suit.

“The plaintiff/respondent is neither a statutory body nor a government agency but rather an incorporated trustee (a non-governmental organisation) not listed in the Constitution or any statute.”

It further stated, “In precis, the plaintiff/respondent has no cause of action and locus standi to competently call on this honourable court to determine the questions brought before it and to grant the consequential reliefs sought. Also, this honourable court lacks the jurisdiction to hear and determine this suit as it is a clear abuse of the court process and urges this honourable court to be wary of the ploy of the plaintiff/respondent in inviting this honourable court to dispense its valuable time and resources on academic issues and usurp the powers of the legislative arm of government.”

Advertisement

The CBN maintained that under the Central Bank of Nigeria Act, 2007, only statutory bodies may interface with the CBN in banking matters, and ALGON does not fall into this category.

It argued that ALGON’s assertion—that its approval is required before commercial banks can act as bankers to local councils—is unfounded and unsupported by law.

The apex bank urged the court to dismiss the case with substantial costs awarded against the plaintiff.

Similarly, counsel for the Federal Account Allocation Committee, Olawale Fapohunda (SAN), argued that ALGON lacks the legal standing to bring the case, thereby robbing the court of jurisdiction.

Advertisement

“That being the case, since on the face of the plaintiff’s claim with requisite locus standi, we submit that it has also disrobed or divested this court of jurisdiction.

“We submit that by the tenor of the plaintiff’s claim before this court, it is obvious that the plaintiff is a mere busybody who has no statutory standing in the business of revenue sharing in Nigeria,” Fapohunda argued.

Also, the state Commissioners of Finance, through their counsel, Olawale Fapohunda (SAN), stipulated the members of FAAC as not include representatives of the 774 LGAs, as being canvassed for.

He cited Section 6(1) of the Allocation of Revenue (Federation Account, etc.) Act, 1982, which outlines the FAAC’s statutory membership—excluding local government representation.

Advertisement

“The plaintiff is not recognised under the Constitution and cannot enforce rights that were never conferred upon it by the law,” he added.

Also speaking on behalf of the state Commissioners for Finance, Fapohunda argued that ALGON is not a member of FAAC and lacks any constitutional or statutory entitlement to participate in its processes.

In an affidavit, Jeff Otache, the administrative manager at the offices of the Incorporated Trustees of State Finance Commissioners, described ALGON’s suit as “vague, imprecise, evasive, and an abuse of court process.”

The commissioners held, “The suit of the plaintiff is conjectural, vague, imprecise, evasive and hollow. That hearing the suit is a sheer waste of judicial time and it is in the interest of justice to dismiss or strike out the suit for want of jurisdiction.

Advertisement

“I know as a fact that the plaintiff is not a member of any of the defendants and as such cannot force itself on them. I also know for a fact that the plaintiff is a non-government organisation that has no nexus with the defendants’ statutory duties. That the plaintiff/respondent is not entitled to any of the reliefs sought,” he stated.

In response, however, ALGON filed a counter-affidavit, asserting its legal status.

It claims to have been incorporated as an association on May 10, 2002, with the principal objective of promoting and defending the autonomy and interests of local governments in Nigeria.

ALGON further accused the 24th defendant of falsely parading himself as its President without valid authority, in violation of the group’s constitution.

Advertisement

The group submitted its constitution and Corporate Affairs Commission registration documents as evidence of its legal status and right to sue.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Senate mulls terrorism charges for oil theft offenders

Published

on

By

The Senate, yesterday, issued a stern warning that perpetrators of oil theft in the Niger Delta region may soon face terrorism charges and other stiffer penalties.

Senate President, Godswill Akpabio, disclosed this while declaring open a two-day public hearing on the “Incessant and nefarious acts of crude oil thefts in the Niger Delta and the actors held.”

The hearing organised by the Senate Ad-hoc Committee on Incessant Crude Oil Theft chaired by Ned Nwoko is aimed at addressing the persistent theft of crude oil in the Niger Delta and produce actionable solutions to the problem.

Akpabio, who was represented by his deputy, Barau Jibrin, said the 10th National Assembly would not stand idly by as the country loses billions of dollars annually to what he described as “brazen economic sabotage.”

Advertisement

He disclosed that the National Assembly was considering a range of strong legislative responses, including categorising major acts of oil theft as terrorism, mandatory digital metering for all oil production and exports, real-time monitoring, improved transparency in crude lifting and revenue reporting, as well as enhanced coordination among military, law enforcement, and anti-corruption agencies.

“Crude oil theft is not a victimless crime. It is directly responsible for economic instability, a weakened naira, underfunded critical sectors, and widespread poverty in oil-producing communities. It also finances illegal arms, fuels violence, and strengthens criminal networks.”

Akpabio lamented that despite past efforts, crude oil theft continues unabated due to systemic failures and gaps in enforcement and oversight. Recent reports estimate that Nigeria loses between 150,000 and 400,000 barrels of crude oil daily, costing the country billions in lost revenue.

“This public hearing must address critical questions: Who are the perpetrators? Are they militants, corrupt officials, international collaborators—or all three? Why have current security measures failed? And how are stolen shipments leaving the country undetected?” he asked.

Advertisement

The Senate President called on all stakeholders including regulatory agencies, oil companies, security forces and host communities, to work collaboratively to stop the looting of the country’s most valuable resource. He emphasised that oil companies must invest in surveillance technology and secure infrastructure, while host communities should act as first-line defenders rather than victims or accomplices.

“To the criminals stealing our crude oil, your time is up. To the agencies tasked with protecting our resources, the nation is watching. And to this Ad-hoc Committee, the Senate expects a robust, no-holds-barred report that will guide firm legislative and executive action.”

Akpabio commended Nwoko, who chairs the Committee convening the hearing and stressed that the recommendations must lead to actionable, measurable and time-bound solutions.”

“The survival of Nigeria’s economy depends on how we respond to this crisis,” he concluded.

Advertisement

Meanwhile, ahead of its planned two-day national security summit, the Senate, yesterday, set up a 20-member committee to organise the event.

The Senate President, Akpabio, who announced the committee’s formation during plenary, said it would be chaired by the Senate Leader, Opeyemi Bamidele, with Yahaya Abdullahi serving as the vice chairman.

Other members are Ireti Kingibe (FCT), Adebule Idiat (Lagos), Barinada Mpigi (Rivers), Babangida Hussaini (Jigawa), Jimoh Ibrahim (Ondo), Osita Ngwu (Enugu), Tahir Monguno (Borno), Titus Zam (Benue), Ahmed Lawan (Yobe), Abdulaziz Yar’Adua (Katsina), Gbenga Daniel (Ogun), Austin Akobundu (Abia), Shehu Buba (Bauchi), Ahmed Madori (Jigawa), Emmanuel Udende (Benue), Adams Oshiomhole (Edo), Shuaib Salisu (Ogun), Isah Jibrin (Kogi) and the Clerk of the Senate, Andrew Nwoba.

The committee is tasked with developing the summit’s framework, including setting the agenda, identifying core issues for discussion, and recommending actionable strategies to improve national security. Akpabio directed the committee to submit its report within two weeks.

Advertisement

The decision to convene the summit followed a resolution passed on May 6 after a motion sponsored by Jimoh Ibrahim to address escalating security challenges in the country was adopted. It is expected to address pressing issues such as terrorism, insurgency, and the alarming trend of leaking military intelligence to militant groups, an issue widely seen as compromising ongoing security operations.

This is not the first time the National Assembly would attempt to address security concerns through a summit. In May 2021, the ninth Assembly, under the then Senate President, Ahmad Lawan and House Speaker, Femi Gbajabiamila, organised a similar summit. Despite contributions from security experts, civil societies, and government agencies, insecurity has continued to plague the country.

Continue Reading

News

Court convicts 10 Thai sailors, vessel for cocaine trafficking

Published

on

By

Justice Daniel Osiagor of the Federal High Court in Lagos on Thursday convicted ten Thai nationals for trafficking 32.9 kilograms of cocaine into Nigeria.

The convicted individuals, all sailors, were found guilty alongside their vessel, MV Chayanee Naree, which was used to smuggle the illicit drug into the country.

The convicted Thais’ sailors are: Krilerk Tanakhan; Boonlert Hansoongnern; Jakkarin Booncharoen; Thammarong Put-tlek; Worrapat Paopinta; Marut Kantaprom; Werapat Somboonying; Urkit Amsri; Panudet Jaisuk, and Amrat Thawom.

The vessel and convicted sailors were first arraigned before the court alongside nine Nigerians, on the alleged offences in February 2022, by the National Drug Law Enforcement Agency (NDLEA).

Advertisement

The Nigerians are: Samuel Messiah; Ishaya Maisamari; Ilesanmi Ayo Abbey; Osabeye Stephen; Gbenga Ogunfadeke; Kayode Buletiri; Rilwan Omotosho Liasu; Saidi Sule Alani, and Jamiu Adewale Yusuf.

The vessel, the convicted sailors and the nine Nigerians were arrested on October 13, 2021, at Apapa, Lagos, on their arrival from Brazil.

They were charged before the court on charges bordering on conspiracy, unlawful transportation and unlawful importation of 32.9 kilograms of Cocaine.

Their illegal acts, according to the NDLEA, contravened sections 11 (b), 11(a) and 14 (b) of the National Drug Law Enforcement Agency Act Cap N30 Laws of the Federation of Nigeria, 2004. And punishable under the same Act.

Advertisement

The convicted Thais and their Nigerian alleged co-conspirators were accused of committing the acts alongside the trio of Kehinde Enoch, Ayo Joseph and one Tunde, all said to be at large.

The convicted sailors were prosecuted by the NDLEA prosecutors, who include; Mrs Theresa Asuquo, A. Adebayo and Paul Awogbuyi. While they were defended by their team of lawyers, who include Babajide Koku, Femi atoyebi and Tunde Adejuyigbe, who are Senior Advocates of Nigeria (SAN).

Upon conclusion of the NDLEA’s case, the convicted sailors opted for No-Case-Submission instead of opening their defence against the allegations against them. This was, however, contended by the prosecutors, who submitted that they had established a prima facie case against the vessel and its Crew.

In deciding the No-Case-Submission, Justice Osiagor acceded to the submissions of the prosecution and held that the prosecution had established a prima facie case against the vessel and its Crew members.

Advertisement

The judge therefore ordered the convicted Thais and others to open their defence against the charges against them.

Based on the court’s ruling, the convicted sailors entered a plea bargain agreement with the NDLEA.

At the resumed hearing of the matter for judgment today, and based on the plea bargain agreement, Justice Osiagor ordered the vessel to pay a fine of $4 million USD or Naira equivalent.

On the convicted sailors, the judge ordered the three Captains of the vessel, namely; Krilerk Tanakhan; Boonlert Hansoongnern; Jakkarin Booncharoen; to pay the sum of $50, 000, 00 USD. And that the other crew member to pay $30, 000, USD each. And that other convicted sailors are ordered to pay the sum of N100,000. 00, as a fine optio n.

Advertisement

Meanwhile, the trial of the nine Nigerians has been adjourned to June 25.

Continue Reading

News

Court of Appeal affirms nullification of Ebonyi council polls

Published

on

By

The Court of Appeal Enugu Division has affirmed the judgement of Justice R O Riman of the Federal High Court Abakaliki, nullifying the conduct of Local Government election in Ebonyi State.

Justice Joseph Ekanem, who read the lead judgement of the Appeal court, gave the ruling while dismissing the three appeals filed by Ebonyi State Government, Central Bank and Local Government Chairmen, challenging the ruling of the Federal High Court.

The Appeal Court ruled that the earlier judgement of Justice R O Riman then of Federal High Court Abakaliki remains valid and subsisting.

According to the Appeal court: “The judgment in FHC/AI/CS/224/2022, which the Appellants challenged on appeal, was meant to enforce compliance with the earlier judgment in FHC/AI/CS/151/2022 contrary to the argument of the appellants.”

Advertisement

The court ruled that the appeals were dismissed for proliferation of issues for determination by the appellants which resulted in an incompetent brief of argument.

Continue Reading

Trending

Copyright © 2024 Naija Blitz News