[Breaking] LG Autonomy: 36 Governors Lose Out As Supreme Court Rules In Favour Of Federal Government

The Supreme Court of Nigeria, on Thursday, ruled it is unconstitutional for state governors to withhold funds designated for local government administrations.

The landmark judgement, delivered by Justice Emmanuel Agim, emphasized that this practice contravenes financial autonomy rights of local governments and has persisted for over two decades.

In a resounding victory for local governance, the apex court’s decision mandates that all allocations from the Federation Account should henceforth be paid directly to the 774 local government councils across the country, rather than being filtered through state governors.

Justice Agim, dismissing preliminary objections by the state governors, ruled that local governments are entitled to manage their own funds independently.

The suit, initiated by the Attorney-General of the Federation (AGF), Lateef Fagbemi, sought to safeguard democratically elected councils from arbitrary dissolution by state governors, further strengthening the framework for local governance in Nigeria.

Naija News recalls that the federal government had been advocating for full autonomy for the 774 local governments in case SC/CV/343/2024.

The federal government through Fagbemi, sought relief from the Supreme Court, requesting an order to restrain State Governors from unilaterally, arbitrarily, and unlawfully dissolving democratically elected local government leaders within their respective states.

In the originating summons personally signed by the Chief Law Officer of the Federation, the Supreme Court was petitioned for an order allowing the funds held in the credits of local governments to be directly allocated to them from the Federation Account, in accordance with constitutional provisions, rather than through the purported unlawful joint accounts established by governors.

He additionally requested an order from the Apex Court to prohibit governors from forming Caretaker Committees to administer the affairs of local governments, contrary to the constitutionally recognized and guaranteed democratic system.