Supreme Court Holds Judgment on Osun LG Funds Dispute Against AGF

The Supreme Court of Nigeria on Tuesday reserved judgment in a high-profile suit filed by Osun State seeking the release of withheld local government funds by the Attorney General of the Federation (AGF).

A seven-member panel led by Justice Uwani Aba’aji heard arguments from both parties before adjourning for judgment. The suit, numbered SC/CV/773/2025, challenges the AGF’s alleged directive to release funds to disputed local government chairmen elected under the All Progressives Congress (APC) platform.

Osun State’s Attorney General, Musbau Adetumbi (SAN), represented the state, urging the apex court to enforce Federal High Court and Court of Appeal rulings that recognize the legitimacy of the PDP-elected local government councils in Osun.

Adetumbi stressed that the AGF’s actions of withholding allocations and attempting to divert them to APC officials “contravene binding court decisions” and threaten the existence of democratically elected local councils. He prayed the court to grant all reliefs sought, including orders for immediate release of withheld funds to validly elected council officials.

The AGF, represented by Chief Akin Olujimi (SAN), countered that the suit is “an abuse of court process” and argued that the matter is essentially political, involving disputes between APC and PDP over local government positions. Olujimi also contended that the Supreme Court’s jurisdiction was improperly invoked and urged the court to dismiss the suit.

During proceedings, Adetumbi revealed that the AGF had, on March 26, attempted to release the withheld allocations to APC officials, despite a court order preventing such payments. He said the release was halted thanks to an interim order obtained by Osun State.

Justice Aba’aji announced that the date for judgment would be communicated to the parties in due course.

This development comes amid ongoing tension over local government control in Osun, following elections conducted on February 22, 2025.