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FG Directs States To Open Local Govt Accounts With CBN
The Federal Government of Nigeria, under the leadership of President Bola Tinubu, has directed all state governments to open accounts with the Central Bank of Nigeria (CBN) for each Local Government Area (LGA) within their jurisdiction. According to SaharaReporters, the directive was communicated through a circular recently issued by the Office of the Accountant General of the Federation. The designated signatories for these accounts will be the respective local government chairmen and their directors of administration or finance. It was further gathered that the decision was ratified during the most recent Federation Accounts Allocation Committee (FAAC) meeting, held a few days ago. A follow-up circular is expected to be issued to reinforce and update the earlier directive regarding the establishment of CBN accounts for LGAs. This move comes amid renewed debates over local government autonomy in Nigeria. In July 2024, SaharaReporters reported that the Supreme Court delivered a landmark judgment mandating the Federal Government to disburse funds directly to local governments governed by democratically elected officials. Justice Emmanuel Agim, who delivered the judgment, ruled that it is unconstitutional for state governments to withhold allocations meant for LGAs. The judgment referenced Section 162(3) of the Nigerian Constitution, which requires such funds to be allocated directly to the local governments. The Supreme Court’s ruling was seen as a major step toward enforcing financial autonomy at the grassroots level and ensuring that local governments can function effectively and independently. In June 2024, the Supreme Court had reserved judgment in a suit filed by the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi (SAN). The suit, which named all 36 state governors as defendants, seeks to grant full autonomy to LGAs across the country. The case was heard by a seven-member panel of the apex court led by Justice Garba Lawal. The push for LGA autonomy stems from longstanding concerns over the mismanagement of local government funds by state governments. Many states have been accused of diverting allocations meant for grassroots development, thereby hampering progress and infrastructure at the local level.
6/20/2025, 4:35:00 PM
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Contempt Charge: Court Serves INEC Chair Yakubu With Form 48
The Federal High Court in Abuja has officially served the Chairman of the Independent National Electoral Commission (INEC), Prof. Mahmood Yakubu, with a copy of contempt proceedings filed against him by the National Rescue Mission (NRM). According to court bailiff Ayuba Sule, the Form 48 was delivered to INEC’s national headquarters in Abuja, in compliance with a directive issued by Justice Obiora Egwuatu on June 17. Form 48 serves as a formal notice outlining the consequences of defying a valid court order and marks the initial stage in contempt and committal proceedings. The court had permitted the documents to be served via substituted means, authorising the bailiff to deliver the papers to any INEC staff member. In a statement signed by its National Publicity Secretary, Mr. Anselem Chinedu Nebeife, the NRM revealed that although officials at the INEC office refused to accept the documents, the bailiff proceeded to leave them at the commission’s legal department. “Mr Ayuba first got to the INEC Chairman’s office, but his staff requested him to identify himself. Ayuba obliged them with his official identity card, and after reading the content of the document he handed over to them, they quickly gave it back to him and told him to visit the legal department. “On getting to the legal department, another drama ensued involving Ayuba and another INEC staff. “Upon handing over the document to the staff, the said staff stealthily scanned through and speedily returned it. “Angered by their disposition, Ayuba dropped the court order and the accompanying Form 48 in front of the legal department and left the commission,” the statement added. Justice Egwuatu gave the order for substituted service of the documents on the INEC Chairman after he heard an ex parte motion that was brought before the court by the NRM. Moving the motion, counsel to the NRM, Mr Oladimeji Ekengba, alleged that INEC and its Chairman spurned an order of mandamus the court made on March 5, which directed them to accept the outcome of an emergency convention that produced the Chief Edozie Njoku-led executives of the party. Ekengba said the essence of the emergency convention which was held on January 17 was to fill vacancies and correct lopsidedness in the National Executive Committee (NEC) of the NRM. “That the Respondent is aware that the emergency convention, the subject matter of the judgement, was held on 17th January, 2025, even by its own processes before this Honourable Court. “Notwithstanding that the Judgement Debtor/Respondent’s Counsel by name M.A. Bawa was in Court when the Judgement was delivered, the Judgement Creditor took the pain to still serve the Judgement Debtor/Respondent with a copy of the Enrolled Order of the Judgement. “Despite being aware, the Judgement Debtor (INEC) refused to comply with the judgement of this Honourable Court to date. “In order not to reduce this Honourable Court to a toothless bulldog and also to enhance the cause of justice, the Registrar of this Honourable Court, on the application of the Judgement Creditor, issued FORM 48 to be served on the Chairman of the Respondent in order for him to show cause why he should not be committed to prison for failing to comply with the judgement of this Honourable Court,” the NRM added in an affidavit it filed in support of the motion. It said the application for the processes to be served on Prof. Mahmood through substituted means was owing to the fact that it would be impossible to hand the processes to him personally. “That I know that the Bailiff of this Court will not be able to serve the Chairman of the Respondent/Judgement Debtor the Form 48 personally, as the Respondent only receives processes at the gate at a designated registry at Plot 430, Zambezi Crescent Off Aguiyi Ironsi Street, Maitama, Abuja. “That the Judgement Debtor/Respondent’s Chairman placed numerous protocols, and the bailiff of this Court will not be able to serve him the Form 48 issued by this Honourable Court. “From the disposition of the Judgement Debtor/Respondent, it is practically impossible to serve its Chairman with the FORM 48 personally as required by law, hence this application,” the affidavit, which was deposed to by one Mr Adebayo Wasiu, further read. The court subsequently adjourned the case till July 15 for mention.
6/20/2025, 1:45:56 PM
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