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Adeleke Must Repay 7 Months of LG Funds, AGF Urges Supreme Court

Published by Akinwale Fakinlede on July 26th, 2025.

Abuja, Nigeria – The Attorney General of the Federation (AGF) has called on the Supreme Court to compel Osun State Governor, Senator Ademola Adeleke, to refund local government allocations allegedly withheld for a period of seven months.

In a move that signals a renewed push for financial accountability and transparency in the management of public funds, the AGF filed legal documents accusing Governor Adeleke of unlawfully retaining federal allocations meant for the state’s local government councils between December 2022 and June 2023.

According to the AGF, the funds—released by the Federation Account Allocation Committee (FAAC)—were constitutionally designated for the autonomous operation of local governments but were allegedly diverted or withheld under the direction of the state executive. The AGF insists this action undermines the financial independence of local councils as enshrined in the Nigerian Constitution.

“This case is not just about Osun State,” a source close to the federal legal team disclosed. “It’s about upholding the constitutional mandate that local governments must receive their due share directly and use it for grassroots development.”

The legal dispute forms part of a broader constitutional challenge brought by the Federal Government against all 36 state governors over alleged mismanagement and obstruction of local government autonomy. The suit is seeking, among other reliefs, an order stopping governors from unilaterally dissolving democratically elected local government councils and hijacking their finances.

Governor Adeleke’s legal team, however, is expected to argue that any action taken was within the ambit of state laws and administrative necessity, possibly citing disputes over the legitimacy of local government officials during the period in question.

Analysts say the outcome of the case could have far-reaching consequences for federal-state-local fiscal relations in Nigeria. If the Supreme Court rules in favor of the AGF, it could lead to a precedent that would force governors across the country to respect constitutional provisions on local government funding—or face legal and financial consequences.

Meanwhile, civil society organizations have welcomed the move, urging the judiciary to protect the autonomy of local councils and ensure that resources meant for rural development reach their intended destinations.

The Supreme Court is expected to begin hearing the case in the coming weeks, in what many observers describe as a landmark battle over transparency, governance, and constitutional order in Nigeria’s federal str

ucture.