Local Governments have sought the Nigerian Financial Intelligence Unit’s help to monitor governors and track LG funds.
NewsOnline Nigeria reports that the Nigeria Union of Local Government Employees and the Association of Local Governments of Nigeria have urged the Nigerian Financial Intelligence Unit to track council funds and prevent their diversion to state governors by council chairmen.
This Nigeria news platform understands that ALGON further vowed to use the opportunity of its financial autonomy to address insecurity and lack of good roads at the grassroots, while also ensuring people in rural areas enjoy more dividends of democracy.
In the last few months, calls for local government autonomy have increased in Nigeria. Those calls had been supported by President Bola Tinubu and stakeholders. Currently, the Federal Government receives 52.68 per cent, states receive 26.72 per cent, and local governments receive 20.60 per cent of the country’s monthly revenue allocated by the Revenue Mobilisation Allocation and Fiscal Commission, which is under the Presidency, and is disbursed by the Federation Account Allocation Committee.
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In May, the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, instituted a suit against the 36 state governors on behalf of the Federal Government at the Supreme Court, seeking full autonomy for local governments. The suit, which was predicated on 27 grounds, contended that Nigeria as a federation s governed with the 1999 Constitution.
Meanwhile, the Attorneys-General of the 36 states filed an objection to the suit instituted by the Federal Government.
However, the Supreme Court declared on July 11, 2024, that it was unconstitutional for state governors to hold funds allocated for local government administrations. The seven-man panel, in the judgement delivered by Justice Emmanuel Agim, declared that the 774 local government councils in the country should manage their funds themselves.
Speaking with our correspondent on Friday, the President of NULGE, Akeem Ambali, backed the Supreme Court’s verdict and cautioned against disobedience of the judgement.
The NULGE boss called for strict adherence to NFIU guidelines, adding that it would help prevent the diversion of funds.
Ambali noted that only those who had misappropriated these funds and those opposed to democratic principles would be discontented with the verdict, adding that Nigerians are happy with the landmark judgement of the Supreme Court.
He said, “The whole country is happy with the judgement of the Supreme Court. It is only looters of local government funds and unpatriotic people that will not be happy.
“What we have seen yesterday is constitutional democracy at play. Funds were appropriated and allocated to local governments. Why must it be hijacked along the line? That is why we have a high rate of poverty, frustration, insecurity, and joblessness across the country.
“We (NULGE) believe that once local government is free, council chairmen will be able to touch the lives of average workers and the masses, and change things for good. That’s our impression about it.”
While lamenting that local government funds had been illegally diverted and misused for years, he stressed that the judgement would help transform governance at the third tier of government.
“Ordinarily, the allocation for local governments has been cornered, diverted, and misapplied over time. What I believe is that once they have access to the allocation, they will be able to provide the infrastructure for the people. They will be able to provide responsive governance to their communities, and pay the minimum wage conveniently.
“We are aware that since the removal of fuel subsidy, local government allocation on the pages of paper has been increased by over 100 per cent by the state and federal governments. So, there is no fear about that.”
He also stressed that adherence to NFIU guidelines will prevent any diversion of funds to state governors by local government chairmen.
He said, “Whoever wants to tamper with the local government funds should be ready to go to jail. Governors are not only doing it because they have immunity, but because the money goes through them to the local governments. Now that the money is going directly to the local government account, no governor will ask the chairmen to rewire the money to them. Once they are aware of the NFIU guidelines, it will be difficult.”
Ambali further criticised the illegality of caretaker committees running local governments, adding that with the Supreme Court judgement, governors no longer have powers to dismiss democratically elected local officials.
He said, “Caretaker committees have been outlawed. The caretaker government in Nigeria is illegal, it has been condemned. Whoever practises it is at their peril. The Supreme Court, the biggest legal institution in Nigeria, the apex of the judicial system and adjudication has decided. So nobody will do anything and the implementation is with immediate effect. It has also empowered the Federal Government not to release allocation to the state to run caretaker or illegal governments that are not in conformity with the Nigerian constitution.
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“What has been crippling political democracy and independence at the local government level is a result of tenure insecurity, because of the absolute power of governors to remove, sack, and suspend the democratically elected local government officials. So in Nigeria now, no governor has the power to remove, suspend, impeach or dissolve the democratically elected local government system.
“Once they have access to their funds, they are responsible to the people and their tenure has been secured. What is the fear again? And don’t forget that we have the Freedom of Information Bill that is operational now. We are in the era of social media and we have the empowerment of whistleblowers. And again, NULGE will not go back to sleep, we will be partnering with the anti-corruption agencies. So there is nothing to fear.
“To track the funds is easy. Already it is being tracked but the only thing is that what they are doing is to keep the funds in dark accounts whereby it will not be accessible. It is easy for the Nigerian Financial Intelligence Unit and anti-corruption agency to track funds that are paid to local government accounts through the central bank. And don’t forget that we have the legislative arm at the local government level empowered to carry out oversight functions on local government expenditures. We have also said that the Federal Account Allocation Committee must publish the daily monthly allocation to every local government. So with all these, there are in-built control mechanisms put in place. It is no longer business as usual like before.”
Also speaking with Saturday PUNCH, the National President of ALGON, Aminu Muazu-Maifata, said the association is happy and appreciates the verdict of the Supreme Court.
ALGON, he said, will meet next week to deliberate on the judgement, vowing that council chairmen will utilise this landmark verdict of the Supreme Court to transform governance at the grassroots and not disappoint Nigerians.
He said, “I assure Nigerians that we won’t disappoint them. We will meet their expectations. By next week, we will call a NEC meeting, which will be held between the 18th and 19th of this month. All the 36 state ALGON chairmen and the FCT chairman will be at the meeting. We will state our positions and expectations on this verdict. Before then, we might have gotten the full details of the judgement. That will give us a good opportunity to explain the verdict and come out with good positions.
“We know the mood of the masses and that of the majority of Nigerians on this issue. We will know how to persuade our principals on it. We are not going to face any challenge from the governors because of the way we are going to approach the whole issue and the way we are going to relate with them.”
Muazu-Maifata also noted that the council chairmen will use the opportunity of now having financial autonomy to address the lack of amenities at the grassroots.
“We will use the opportunity to address the lack of roads and basic amenities at the local government level. We need to put our house in order so that we can face the challenges and move our people forward to enjoy more dividends of democracy, especially security.
“In the next four years, the story would have changed for the local governments, most especially those states that are not enjoying liberty. I am sure the lawyers of the governors administering local government with caretaker committees will advise them. I am sure the governors will comply. They are leaders, so they will have to lead by example.”
‘Anambra suffers pilferage of council funds’
The All Progressives Congress in Anambra State also hailed the Supreme Court judgement, saying it was a liberation for the people of the state.
The APC, in a statement signed by the State Publicity Secretary, Okelo Madukaife, on Friday, said no other state in Nigeria had suffered from the ‘systematic pilferage’ of local government funds more than Anambra State in the last 25 years.
He said, “No other state has suffered under the system of systematic pilferage of local government funds, turned into a high art under the serial interventions of the All Progressives Grand Alliance, like Anambra.
“For 25 years since 1999, Zik’s own state has not had the opportunity to elect its own (local government) officials, except in December 2013, to cover the two-year period between 2014 and 2016 when autocracy returned.”
Northern elders hail Supreme Court verdict
The Professor Ango Abdullahi-led Northern Elders Forum has expressed its profound satisfaction with the recent Supreme Court judgement that grants financial autonomy to the 774 local government areas across the country. The forum noted that the landmark decision would help ensure development at the grassroots level.
“This bold move, which is a departure from the past practice of centralising power and resources in the hands of respective state governments, holds great promise for empowering local governments to take charge of their own affairs and address the pressing needs of their communities.”
Abide by Supreme Court verdict, Kogi CNPP urges governor
Meanwhile, the Conference of Nigeria Political Parties has urged Kogi State Governor, Usman Ododo, to abide by the Supreme Court judgement.
A statement issued by Mohammed Abdullahi, on Friday, described the judgement of the Supreme Court as a welcome development. “The recent judgement of the Supreme Court granting financial autonomy to 774 local governments in Nigeria is highly commendable. This is what I will call freedom at last. Over the years, local governments in Nigeria have been in shambles.
“We need to promote transparency in the utilisation of public resources at all levels to lift the burden on the common man. It is on this note that CNPP is appealing to the Kogi State Governor to respect the judgement of the Supreme Court,” the statement read.
PDP, Labour Party hail judiciary
The National Secretary of the People’s Democratic Party, Senator Samuel Anyanwu, on Thursday described the landmark judgement as the only way to sustain democracy in Nigeria. Anyanwu, who was the candidate of the Peoples Democratic Party in the November 11, 2023 governorship election in Imo State, said this through his media adviser, Ikenna Onuoha.
He said, “The judgement is a big disappointment to corrupt governors and public office holders in Nigeria who rely on the local governments’ allocations to enrich themselves. This judgement should be commended by anyone who believes in the advancement and promotion of democracy.”
On his part, Senator Athan Achonu of the Labour Party described it as “a landmark judgement that marks a significant step towards grassroots development in Nigeria.
“This ruling is a major triumph for democracy and the empowerment of local governments.”
Kebbi holds LG poll August 31
The Kebbi State government is set to hold local government elections on August 31. A senior government official disclosed this while speaking with our correspondent in Sokoto on Friday.
He said, “I am sure you are aware that the date for the local government election had already been set before the Supreme Court judgement. Mr Governor is a man of peace. He knows the value of separation of power, which is why he directed the state electoral commission to ensure that local government elections hold on time.”
Also, the Sokoto State government has already signed the amendment bill of the local government into law. The law will ensure that elected local government officials will now serve three years as opposed to the previous two years in office. The state’s Commissioner for Information, Sambo Danchadi, said, “I am sure you know that the state was already working on the law before the commencement of the case, which judgement was delivered on Thursday. Just be patient, you will be informed soon on when the polls will come up.”
Kano studying Supreme Court judgement
The Kano State government said it was studying the judgement with a view to taking the necessary steps. The State Commissioner of Information, Baba Dantiye, made the disclosure while speaking with Saturday Punch on Friday.
He said, “The judgment is being studied and I am aware that the Nigerian Governors’ Forum will also dissect the judgment. The election process is already on, so the state electoral commission is right on it,” Dantiye added.
‘Verdict will not affect Gombe LG operations’
Gombe Local Government Chairman, Sani Ahmad-Haruna, said the Supreme Court’s judgement won’t affect much of the operations in his council. Ahmad-Haruna, who doubles as the state chairman of ALGON, commended the ruling.
He stated this on Thursday in a phone interview with our correspondent. Ahmad-Haruna said, “In particular, I will speak for Gombe State, because this is where I am. I believe it’s a good thing for democracy that the court has decided in favour of local government by clearly defining the roles and responsibilities of the third tier of government. Even though I don’t think it will affect much of our operations in Gombe because the state has been supportive of local governments.”
Zamfara yet to announce LG election date
The Zamfara State House of Assembly has yet to announce the date for the local government election. In a telephone interview with our correspondent, the press secretary of the state assembly, Bello Madaro, said that members of the assembly have yet to announce the date for the election.
He, however, explained that, “The issue would be celebrated by the house at an appropriate time.”
Bauchi to conduct council elections in August
The Bauchi State Government is set to conduct council elections in the state by August. The chairman of the Bauchi State Independent Electoral Commission, Ahmad Makama, stated this during a press briefing on Tuesday at the commission’s headquarters.
Governors happy with verdict will comply – NGF
The Governor of Kwara State and Chairman of the Nigeria Governors’ Forum, AbdulRazaq AbdulRahman, said the forum welcomed the ruling of the Supreme Court, adding that the verdict of the court was a relief from the burdens on the governors.
AbdulRazaq, who was accompanied by the Chairman of the All Progressives Congress Governors Forum, Hope Uzodimma, and the Chairman of the Peoples Democratic Party Governors Forum, Dr Bala Mohammed, stated this while addressing State House correspondents after a meeting with President Bola Tinubu at the Presidential Villa, Abuja, on Friday.
“Compliance is a given and our Attorney General has applied for the enrolment order, which we’ll study carefully.
“But by and large, governors are happy with the devolution of power in respect of local government autonomy. It relieves the burden on governors.
“Our people really don’t know how much states expend in bailing out local governments, and that’s the issue there,” he said.
