Government Nigeria Top Story

Supreme Court orders direct payment of LG allocations

The Supreme Court ruled on Thursday that all Local Government Area (LGA) allocations must henceforth be paid directly into their respective accounts. This landmark decision was delivered by Justice Emmanuel Agim, who led a seven-member panel of Justices of the apex court.

In the judgment, the court barred the 36 state governors from receiving, tampering with, or withholding funds meant for local governments. The ruling also prohibits governors from dissolving democratically elected local government officials, stating that such actions would breach the 1999 Constitution.

The Federal Government filed the suit, marked SC/CV/343/2024, through Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi (SAN). The government sought to compel the state governors to grant full autonomy to local governments within their jurisdictions.

The suit, based on 27 grounds, accused the state governors of gross misconduct and abuse of power. The Federal Government urged the Supreme Court to prohibit state governors from unilaterally and unlawfully dissolving democratically elected local government leaders.


Additionally, the Federal Government requested an order from the court to ensure that funds allocated to local governments from the Federation Account are paid directly to the local governments rather than through the state governments. An injunction was also sought to restrain governors and their agents from tampering with funds designated for local governments, particularly in the absence of democratically elected local government systems.

The court’s ruling is a significant step towards ensuring the autonomy and financial independence of local governments in Nigeria.

Source: NAN

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