By Ogbitse Meyiwa

Over the years, the local governments of various states in Nigeria, encompassing over 774 LGs in the country, have been controlled by overbearing governors regarding fund allocations. The state government and the local government share a joint account operated by both tiers of the government. However, funds are not managed and allocated properly by the state government, which is in charge, leading to the mismanagement of funds meant for the local government.

For the past few months, there have been frequent calls for autonomy for the third tier of government, which the President of Nigeria, Bola Tinubu, supports. The Federal Government, through the Attorney-General of the Federation (AGF), Lateef Fagbemi, sued the 36 state governors over alleged misconduct concerning local government funds. The Federal Government receives 52.68% of the country’s monthly revenue, states get 26.72%, and LGs get 20.60%, as allocated by the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), which operates under the Presidency, and is disbursed by the Federation Account Allocation Committee (FAAC).

The Supreme Court, after various interrogations and evidence, has barred state governments from dissolving democratically elected local government councils in the country. In the lead judgement, which was read by Justice Agim, the apex court noted that the state governments’ refusal of financial autonomy for local governments has persisted for a very long time.

“A democratically elected governor has no power to remove a democratically elected LGA official and appoint a caretaker committee. It is unconstitutional,” he said.

Justice Agim noted that all 774 LGs should manage their funds independently, further emphasising that only democratically elected local government administrations are entitled to these funds, not caretaker committees. Hon. Mr Justice Emmanuel ordered the immediate implementation of the judgement, stating that no money intended for the local government should be passed to the state government.

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