On Thursday, the Supreme Court declared it unconstitutional for state governors to withhold funds intended for Local Government (LG) administrations. In the lead judgment delivered by Justice Emmanuel Agim, the court pointed out that the denial of financial autonomy to local governments by state governments has been ongoing for over two decades.
Justice Agim noted that local governments have stopped receiving the funds allocated to them, as state governors have been controlling these funds. He emphasized that the 774 local government councils across Nigeria should manage their finances independently. The court dismissed the preliminary objections raised by the state governors.
The case, brought forward by the Attorney-General of the Federation (AGF), Lateef Fagbemi, aimed to stop governors from arbitrarily dissolving democratically elected local councils. Justice Agim affirmed that the AGF has the constitutional right to file such a suit.
As a result, the Supreme Court has directed that Local Government allocations from the Federation Account be paid directly to the local governments from now on.
