Monday, July 20, 2026

Supreme Court strikes out Osun govt’s suit against FG on withheld LG funds

The apex court ruled that Mr Jimi-Bada had no legal right to have instituted the case on behalf of the 30 local governments in the state in the first place.

• December 5, 2025
Scales of justice
Scale of justice [Credit: StockCake]

The Supreme Court on Friday struck out a suit filed by the Osun State Government seeking to compel the federal government to release withheld allocations belonging to local government areas in the state.

The state attorney general, Oluwole Jimi-Bada, had slammed a suit against the Atorney General of the Federation and Minister of Justice, Lateef Fagbemi, over the withheld LG funds.

In a split decision of six justices to one, the apex court ruled that Mr Jimi-Bada had no legal right to have instituted the case on behalf of the 30 local governments in the state in the first place.

The court held that only the local governments had the right persons to sue and be sued directly.

Reading the judgment on Friday, Justice Mohammed Idris, held that the federal government was wrong in withholding the local government funds, adding that the action was at variance with the 1999 Constitution.

“Those who won the local government election, and have been inaugurated are the persons that can sue and be sued directly,” the court stated, dismissing Mr Jimi-Bada’s argument that the suit was a public interest litigation.

Noting that the federal government improperly seized the funds, the court dismissed Mr Fagbemi’s contempt allegations against Osun State and faulted his failure to pay the funds as required by law.

However, Mr Idris said Mr Jimi-Bada should not have filed the case on behalf of the local government, since there was no evidence that he was briefed.

Meanwhile, Justice Emmanuel Agim, in a minority judgement, disagreed with the six other justices, saying that the Osun attorney general had the right to institute the case.

Mr Agim slammed the action of the federal government as inappropriate and capable of undermining the activities of the local governments.

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