The Federal Government has floored the 36 state governors at the Supreme Court as the apex court granted full financial autonomy to the 774 local governments in the country.
The seven-man panel in a unanimous decision outlawed the appointment of caretaker committees to administer the local governments by state governors.
The panel also declared that it was illegal and unconstitutional for governors to continue to receive or retain funds allocated to the local councils, under State and Local Government Joint Account.
The court delivered the landmark judgment in suit: SC/CV/343/2024, filed by the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi (SAN) against the 36 state governors.
The AGF had sued the state governors through their respective state attorneys-general.
By this development, the governors’ control of the 774 councils’ allocation has been halted.
An analysis of the monthly distribution document released by the National Bureau of Statistics indicates that the LGAs got N2.6tn allocations from the Federal Accounts Allocation Committee between January and December 2023.
In the first five months of 2024, the local councils have also received N1.42tn.
Also, several states without elected local government officials may have their council allocation withheld.
The states include Rivers, Ondo, Osun and Plateau whose LGAs are being run by caretaker committees.
In the originating summons, the AGF prayed the court to order the direct allocation of funds from the federation account to the local governments.
He also sought an order prohibiting the unlawful dissolution of local government administration and the state governors’ appointment of caretaker committees to run the councils.
