AHEAD of the submission of the report of the 10-member inter-ministerial committee on the implementation of the Supreme Court ruling on Local Government Areas autonomy next week, state governors have begun fresh lobbying against the enforcement of the verdict.
The panel, headed by the Secretary to the Government of the Federation, George Akume, has concluded its assignment and is expected to submit its report on or before October 13, according to PUNCH findings.
Under former President Muhammadu Buhari, the Nigerian Financial Intelligence Unit issued a regulation, effective from June 1, 2019, banning transactions on State and Local Governments Joint Accounts. Funds were sent directly to the accounts of the local governments.
It also limited cash withdrawals from local governments accounts to a maximum amount of N500,000 per day with penalties for banks that failed to comply.
However, state governors, under the aegis of the Nigerian Governors’ Forum, kicked against this regulation and the NFIU eventually capitulated.
In May, the Federal Government, represented by the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, filed a lawsuit to challenge the governors’ authority to receive and withhold federal allocations meant for Local Government Areas.
The suit sought to prevent state governors from unilaterally dissolving democratically elected local government councils and establishing caretaker committees. The AGF argued that the constitution mandated a democratically elected local government system and did not allow alternative governance structures.
The Supreme Court, on July 11, 2024, gave a landmark judgment affirming the financial autonomy of the 774 LGs in the country and ruled that governors could no longer control funds meant for the councils.
The seven-member Supreme Court panel, led by Justice Garba Lawal, ruled that it was illegal and unconstitutional for governors to manage and withhold LG funds.
The apex court also directed the Accountant-General of the Federation to pay LG allocations directly to their accounts, as it declared the non-remittance of funds by the 36 states unconstitutional.
About three officials, including a source in the Presidency, who spoke on condition of anonymity as they were not authorised to speak on the issue, told this newspaper that governors were pressuring top officials to soft-pedal on the implementation of the apex court judgment.
The Presidency official, however, stressed that the President was committed to implementing the Supreme Court ruling.
He stated, “The process is on and governors are already lobbying to stall the implementation of the apex court ruling as the panel prepares to submit its report next week.
“The implementation will start any moment now. The ministries of finance and justice are working to finalise details of implementation.”
Speaking to this newspaper on Wednesday, the National President, National Union of Local Government Employees, Hakeem Ambali, confirmed that the inter-ministerial committee would submit its report by October 11.
“A technical committee was set up under the chairmanship of the Secretary to the Government of the Federation and it is expected that implementation kicks off on or before October 11 as mandated by the Supreme Court.
“The President’s speech has also given us more reassurance that this is already a done deal. NULGE has also submitted its report to the committee,’’ he stated.
Reacting to the governors’ plot to hinder the enforcement of the Supreme Court verdict, civil society groups, including the Centre for Accountability and Open Leadership and the United Global Resolve for Peace, called on the Federal Government to accelerate the implementation of the autonomy.
Chairman, CACOL, Debo Adeniran, faulted the governors’ “self-serving nature” and their “stranglehold on the local governments.”
He stated, “We know that they didn’t like what the President did by asking the Supreme Court to adjudicate on the matter. They are actually mounting pressure, not just lobbying, mounting pressure on all forces to ensure that the implementation of that order doesn’t come.
“That lobby is unnecessary, it’s unwarranted and the President should not allow it to work. If the President insists, then they will not succeed because the rule of law must prevail; the Supreme Court has ruled, it is just for them to implement, so nothing must stop it, otherwise, we would have put the rule of law in jeopardy and that’s not good for us.”
The Executive Director, UGRP, Olaseni Shalom, called on the President to sponsor a bill in the National Assembly to enforce the autonomy.