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Just in: FG drags 36 Governors through Supreme Court, seeks full autonomy for LGAs
By Kayode Sanni-Arewa
The Federal Government has instituted a legal action against the governors of the 36 states of the Federation at the Supreme Court over alleged misconduct in the administration of local Government Areas, LGAs.
FG, in the suit marked: SC/CV/343/2024, which was filed by the Attorney General of the Federation and Minister of Justice, Prince Lateef Fagbemi, SAN, is seeking full autonomy for all LGAs in the country as the third tier of government.
It specifically prayed the apex court to issue an order, prohibiting state governors from embarking on unilateral, arbitrary and unlawful dissolution of democratically elected local government leaders, as well as for an order permitting the funds standing in the credits of local governments to be directly channelled to them from the Federation Account in line with the provisions of the Constitution as against the alleged unlawful joint accounts created by governors.
Besides, FG, prayed the Supreme Court for an order, stopping governors from further constituting Caretaker Committees to run the affairs of local governments as against the Constitutionally recognized and guaranteed democratic system.
It equally applied for an order of injunction, restraining the governors, their agents and privies, from receiving, spending or tampering with funds released from the Federation Account for the benefits of local governments when no democratically elected local government system is put in place in the states.
Governors of the 36 States were sued through their respective Attorneys General.
In the 27 grounds it listed in support of the suit, FG, argued that Nigeria, as a federation, was a creation of the 1999 Constitution, as amended, with the President, as Head of the Federal Executive Arm, swearing on oath to uphold and give effects to provisions of the Constitution.
It told the apex court: “That the governors represent the component states of the Federation with Executive Governors who have also sworn to uphold the Constitution and to at all times, give effect to the Constitution and that the Constitution, being the supreme law, has binding force all over the Federation of Nigeria.
“That the Constitution of Nigeria recognizes federal, states and local governments as three tiers of government and that the three recognized tiers of government draw funds for their operation and functioning from the Federation Account created by the Constitution.
“That by the provisions of the Constitution, there must be a democratically elected local government system and that the Constitution has not made provisions for any other systems of governance at the local government level other than democratically elected local government system.
“That in the face of the clear provisions of the Constitution, the governors have failed and refused to put in place a democratically elected local government system even where no state of emergency has been declared to warrant the suspension of democratic institutions in the state.
“That the failure of the governors to put democratically elected local government system in place, is a deliberate subversion of the 1999 Constitution which they and the President have sworn to uphold.
“That all efforts to make the governors comply with the dictates of the 1999 Constitution in terms of putting in place, a democratically elected local government system, has not yielded any result and that to continue to disburse funds from the Federation Account to governors for non existing democratically elected local government is to undermine the sanctity of the 1999 Constitution.
That in the face of the violations of the 1999 Constitution, the federal government is not obligated under section 162 of the Constitution to pay any State, funds standing to the credit of local governments where no democratically elected local government is in place.”
Consequently, FG, prayed the Supreme Court to invoke sections 1, 4, 5, 7 and 14 of the Constitution to declare that the State Governors and State Houses of Assembly are under obligation to ensure a democratic system at the third tier of government in Nigeria and to also invoke the same sections to hold that the governors cannot lawfully dissolve democratically elected local government councils.
It also prayed for the invocation of sections 1, 4, 5, 7 and 14 of the Constitution to declare that dissolution of democratically elected local government Councils by the Governors or anyone using the state powers derivable from laws enacted by the State Houses of Assembly or any Executive Order, is unlawful, unconstitutional, null and void.
In a 13 paragraghs affidavit that was deposed to by one Kelechi Ohaeri from the Federal Ministry of Justice, the AGF said he filed the suit under the original jurisdiction of the Supreme Court, on behalf of the FG.
The deponent averred that local government system recognized by the Constitution is a democratically elected local government councils, adding that the amount due to local government Councils from the Federation Account is to be paid to local government system recognized by the Constitution.
FG said it would in the course of the hearing tender, Daily Post online publication of January 29, 2024 titled “LG Administration; 15 Govs under scrutiny over Constitutional breach”, Vanguard online special report of September 12, 2023, Guardian editorial of January 23, 2024, Premium Times online publication of December 1, 2023, Vanguard online publication of December 1, 2023 and Arise online news of December 2, 2023, to justify the national importance and the public interest on the issue of granting autonomy to LGAs in the country.
Meanwhile, the Supreme Court has fixed May 30 to hear the suit.
[Vanguard]
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Access Bank Becomes First to Meet CBN’s Minimum Capital Requirement with N351bn Rights Issue
By Gloria Ikibah
Access Holdings Plc has announced the successful completion of its Rights Issue, raising N351,009,103,017.25 through the issuance of 17,772,612,811 ordinary shares at N19.75 per share.
This achievement follows full regulatory approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).
With this milestone, Access Bank Plc, the flagship subsidiary of Access Holdings, is the first bank to meet the CBN’s N500 billion minimum capital requirement for banks with international authorisation, well ahead of the March 2026 deadline. The bank’s share capital now stands at N600 billion, exceeding the regulatory threshold by N100 billion.
This marks a significant achievement as Access Holdings is the first CBN-licensed financial holding company to execute a fully digital Rights Issue. The process utilised the Nigerian Exchange Group’s E-offer platform to provide shareholders with a seamless and efficient subscription experience, enhancing accessibility and participation.
Speaker on the development, the Holding Company’s Chairman, Aigboje Aig-Imoukhuede, highlighted the innovation and leadership demonstrated by the institution. Further details from the statement emphasize the bank’s commitment to leveraging technology to drive growth and improve shareholder value.
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I’m optimistic about Nigeria’s future, says Shettima
Vice President Kashim Shettima has expressed optimism about Nigeria’s future, reaffirming the commitment of the Federal Government to national security, economic transformation, and the well-being of all citizens.
In a Christmas message on Wednesday, Shettima assured Nigerians that the administration of President Bola Tinubu is resolute in its efforts to tackle critical issues such as security and economic challenges, as the country prepares for the coming year.
“As we approach a new year, I want to reassure you that President Tinubu’s administration remains fully dedicated to improving the lives of all Nigerians. We are committed to tackling economic transformation and enhancing the welfare of every citizen,” Shettima said.
Highlighting Nigeria’s diversity as a strength, the Vice President called on Nigerians to use the festive period to strengthen unity across all regions and faiths, fostering a spirit of togetherness.
“Our nation’s greatest strength lies in its diversity. This holiday season offers us the perfect opportunity to strengthen the bonds of brotherhood that unite us,” he stated.
Shettima also assured Nigerians of the continued vigilance of the nation’s security forces, emphasising that security personnel would remain on high alert during the holiday period to ensure safety.
“Our brave security personnel will continue to work tirelessly to protect us. Enhanced security measures are in place to safeguard citizens during the festive season,” he said, urging travelers to stay vigilant.
Looking to the future, Shettima expressed hope and confidence in the country’s trajectory.
“I am filled with hope and optimism about Nigeria’s future. Together, we will build a more prosperous and united nation,” he said.
Addressing the nation’s youth, Shettima emphasised their crucial role in Nigeria’s development and outlined the government’s initiatives aimed at creating opportunities for them.
“To our young people, you are the backbone of our nation. The Renewed Hope administration is rolling out various initiatives to empower you, enabling you to thrive and contribute to Nigeria’s growth,” Shettima said.
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