In a divided ruling on Friday, the Supreme Court struck out a case instituted by the Osun State Attorney General, Oluwole Jimi-Bada, against the Attorney General of the Federation, Lateef Fagbemi, over the dispute surrounding withheld allocations for local governments in the state.
Delivering the lead judgment, Justice Mohammed Idris held that the Osun Attorney General lacked the legal authority to file the suit on behalf of the 30 local government councils, noting that only duly elected and inaugurated local government officials possess the capacity to sue or be sued in matters involving their funds.
While criticising the Federal Government’s decision to withhold the allocations, the court described the action as unconstitutional and urged that future disbursements be made directly into local government accounts.
The apex court also dismissed the AGF’s allegations of contempt against the Osun government, arguing that the federal authorities themselves stood in violation of the law by failing to release the funds.
However, the court maintained that without evidence of formal instructions from the local government councils, the Osun Attorney General acted beyond his mandate in pursuing the suit.
In a lone dissent, Justice Emmanuel Agim faulted the majority decision, insisting that the Osun Attorney General was within his rights to approach the court.
He condemned the withholding of funds by the Federal Government, warning that such actions could severely hamper the operations of local councils across the state.