NBA Demands Release Of Withheld Osun Local Government Funds

The Nigerian Bar Association (NBA) has urged President Bola Tinubu to immediately release statutory allocations owed to local governments in Osun State, describing the withholding of the funds as unconstitutional and a violation of the rule of law.

In a letter dated August 19, 2025, addressed to the Attorney General of the Federation, the NBA said there is “no legal justification for the non-release of the allocations” and demanded their “immediate release.” The letter was signed by NBA President Afam Osigwe and General Secretary Mobolaji Ojibara.

The Association noted that payments from the Federation Account to Osun local government councils have been withheld since February 2025, despite constitutional provisions guaranteeing their financial autonomy under Section 162 of the 1999 Constitution.

The NBA explained that its ad-hoc committee on the Osun local government impasse had reviewed relevant court rulings and statutes, concluding that withholding the funds “amounts to a violation of the Constitution, a disregard for the Rule of Law, and an affront to clear pronouncements of the courts.”

The body further warned that seizing or withholding funds meant for local governments “sets a dangerous precedent, weakens public confidence in democratic institutions, and emboldens lawlessness at all levels.”

Citing the Supreme Court ruling in A.G. of Lagos State vs. A.G. of the Federation (2004), the NBA stressed that the President has no authority to suspend or direct the suspension of statutory allocations to local government councils.

The letter also addressed legal uncertainties following the October 2022 Osun local government elections. While the Federal High Court nullified the election of APC council officials, subsequent appeals created a legal stalemate. According to the NBA, after fresh elections in February 2025, the only valid officials in the LGAs are members of the People’s Democratic Party (PDP).

Criticising the Federal Government’s decision to freeze disbursements, the NBA stated, “The Constitution does not and could not have intended that the Federal Government or the President… has the power to direct the Minister of Finance not to release statutory allocations.” It added that any dispute regarding the release of funds should be resolved through the courts.

The NBA said it has instructed its National Litigation Committee and the Section on Public Interest and Development Law to engage with relevant stakeholders to ensure compliance with constitutional provisions and court rulings.

This comes amid reports that President Tinubu ignored repeated appeals by Osun Governor Ademola Adeleke to release the withheld local government allocations. Sources disclosed that during a June meeting at Aso Rock Villa, Tinubu reminded Adeleke that he had ordered the removal of local government chairmen, linking the decision to the suspension of funds.

According to records from the Office of the Accountant-General, Osun is owed a total of ₦46.9 billion, including ₦11.9 billion for March, ₦11.2 billion for April, ₦11.7 billion for May, and ₦12.1 billion for June, none of which have been disbursed.