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Local Government Autonomy: FG Targets Defiant Governors

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The Attorney General of the Federation and Minister of Justice, Prince Lateef Fagbemi (SAN), has delivered a sharp rebuke to state governors defying the Supreme Court’s ruling on local government autonomy. He warned that any further disregard for the judgment could lead to contempt of court charges, signaling his readiness to enforce the rule of law in the face of mounting resistance.

In the unanimous judgment of its seven-member panel, the Supreme Court upheld the suit brought by the Federal Government to strengthen the independence of local governments in the country. the Federal Government had not effected direct payment of allocations to the local government, as directed by the apex court.

Speaking in Abuja on Thursday, Fagbemi made this statement during the 2024 annual conference of the National Association of Judiciary Correspondents, shedding light on key judicial matters.

In its decision, the Supreme Court not only condemned the non-remittance of funds by the 36 states but also ordered the Accountant-General of the Federation to pay local government allocations directly to their accounts, calling the prior practice unconstitutional.

The suit, SC/CV/343/2024, brought forward by Fagbemi, aimed at reinforcing local government autonomy as protected by the constitution. As part of the ruling, the court issued an injunction barring governors from dissolving democratically elected local government councils and replacing them with caretaker committees without legal justification.

With a unanimous judgment from its seven-member panel, the Supreme Court supported the Federal Government’s effort to strengthen the autonomy of local governments. The ruling, however, highlighted that the Federal Government had failed to implement the directive for the direct payment of allocations to the local governments, as ordered by the apex court.

It was reported that the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said the Federal Government was yet to commence direct payment to the respective LGs due to some “practical impediments.”

Read also: Soludo Endorses LG Law, Warns Total Autonomy Risks Disorder

He added that a committee had been set up by the Federal Government to look at the practicability of the judgment.

The Federal Government, it was learnt, faced challenges implementing the ruling on local government financial autonomy, with concerns over its impact on salary payments and operational viability.

The Oyo State Governor, Seyi Makinde, who raised concerns over the judgment, called for a homegrown solution to ensure the people did not suffer.

“The law is the law and when there is a conflict, yes, we should go to the court. But it behoves us to look for our own homegrown solutions that can ensure that we have transparency and that our people do not suffer. This is because when two elephants are fighting, it is the grass that will suffer,” Makinde was quoted to have said.

Some states have, however, carried out legislation to bypass the judgment of the Supreme Court.

The Anambra State House of Assembly passed the Local Government Administration Bill 2024 on Tuesday, October 8, 2024, amid condemnation from civil society groups and opposition parties, including Labour Party lawmakers in the assembly.

Section 13(1) of the bill stipulates that the state shall maintain a “State Joint Local Government Account,” into which all federal allocations to LGAs must be deposited.

Section 14(3) further mandates that each LG must, within two working days of receiving their allocations from the Federation Account, remit a state-determined percentage to the consolidated account. This requirement applies even if the allocations are received directly from the Federation Account.

Section 14(4) outlines that if the state receives the LGA allocation on their behalf, it must deduct the specified percentage before disbursing the remaining funds to the LGA.

Labour Party members in the assembly kicked against the bill, saying, “Some sections of the bill, particularly sections 13, 14 and 16, seek to compel the Local Governments to pay their federal allocation into an account to be established by the state government, thereby running foul of the Supreme Court judgment.

The bill was later signed by Governor Chukwuma Soludo on October 15, 2024. Speaking after signing the bill, Soludo warned that granting full autonomy to Nigeria’s 774 local government areas could lead to “humongous chaos,” arguing that such a move would not result in sustainable development.

The Eastern Updates 

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