LIVE UPDATES
The governments of Adamawa and Ogun states have collectively dragged the federal government before the Supreme Court over alleged deductions from the Federation Account.
The states in their separate suits are seeking an interpretation of Section 162 (1), (2), and (3) of the Constitution regarding the distribution of revenue from the account.
Specifically, in suit No. SC/CV/547/2024 between the Attorney General of Oyo State and the Attorney General of the Federation, filed by Chief Bolaji Ayorinde (SAN), the state asked the apex court to restrain the federal government from further deductions for the purposes of funding any project or effecting any payment whatsoever, except for the constitutional purposes of distributing such monies or amount among the federal, state and the local government councils.
The suit is also seeking “an order directing the federal government, to henceforth pay and distribute such sums or amount standing as credit of the Oyo State Government and the Local Government Councils, from the Federation Account, from time to time, to the Oyo State Government, in accordance with the mandatory provisions of Section 162(4) and (5) of the Constitution of the Federal Republic of Nigeria, 1999 (As Amended) on such terms and in such manner as may be prescribed by the National Assembly.
The state is praying for “a declaration that it is contrary to the provisions of Section 162 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) for the Federal Government of Nigeria to deduct, charge or howsoever deal with any amount standing to the credit of the Oyo State Government in the Federation Account, in furtherance of any alleged debt, agreement or howsoever described
“A declaration that by virtue of the provisions of Section 162 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), the Federal Government of Nigeria lacks the constitutional powers to deduct, charge any sum or in any other manner deal with any amount standing to the credit of the Oyo State Government in the Federation Account before distribution of the revenue to the Oyo government.
“A declaration that the act or conduct of the Federal Government of Nigeria in unilaterally deducting or charging any sum from the amount due and standing to the credit of the Oyo State Government in the Federation Account, in furtherance of any agreement, charge before distribution of remainder of the revenue to the Oyo State Government is illegal, unconstitutional, null and void.
“An order directing the Federal Government Nigeria, whether by herself, agencies, commissions, officers, servants, and/or privies or howsoever described to henceforth pay and distribute such sums or amount standing credit of the Oyo State Government and the Local Government Councils, from the Federation Account, from time to time, to the Oyo State Government, in accordance with the mandatory provisions of Section 162(4) and (5) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) on such terms and in such manner as may be prescribed by the National Assembly, among other prayers.”
Also, Adamawa state government in its suit argued that “the entire sum in the Federation Account must be distributed among all levels of government without deductions, except as permitted by law.
“The President must comply strictly with the Constitution in managing and distributing revenue."
The Adamawa government stressed, “All revenues collected, except those exempted by the constitution, must be paid into the Federation Account for distribution to all tiers of government.”
The date for the formal hearing of the suits is yet to be fixed by the court.
