By Obinna Uballa
The Supreme Court on Tuesday reserved judgment in a case brought by the Osun State Government against the Attorney General of the Federation (AGF) over the release of local government funds to council chairmen whose election had been nullified by the courts.
A seven-man panel of the apex court led by Justice Uwani Aba’aji listened to final arguments from counsel before adjourning judgment. Musbau Adetumbi, SAN, appeared for the Osun State Attorney General, while Chief Akin Olujimi, SAN, represented the AGF. Justice Aba’aji informed the parties that the date of judgment in the suit, marked SC/CV/773/2025, would be communicated later.
During proceedings, the court acknowledged an interim order issued last week by an Ibadan High Court, which restrained the United Bank for Africa (UBA) from releasing allocations to the APC council chairmen whose election had been set aside. Adetumbi raised the issue, alleging moves to tamper with the funds despite pending litigation. Justice Aba’aji noted that the High Court’s ruling had already preserved the matter, remarking: “It is no issue again.”
Osun’s position
The Osun government is asking the apex court to direct the AGF to release monthly allocations only to chairmen and councillors it considers “validly elected” in the state’s 30 local government areas. It also wants an order restraining the AGF from further withholding or diverting funds meant for the councils.
The state argued that the AGF erred by issuing a letter recognising APC local government chairmen, even though their election had been nullified by the Federal High Court and upheld by the Court of Appeal in Abuja. Following those judgments, Governor Ademola Adeleke dissolved the APC-led councils and replaced them with caretaker committees.
Adetumbi urged the court to uphold his client’s claims and grant all the reliefs sought, stressing that the AGF’s action amounted to interference with the judiciary’s rulings.
AGF’s defence
In his objection, Olujimi argued that the Osun Attorney General had no legal standing to bring the matter before the Supreme Court, describing it as a dispute between political parties that should not fall under the apex court’s original jurisdiction. He insisted the suit was incompetent and disclosed no cause of action.
Olujimi further submitted that the tenure of the APC chairmen remains valid until October 22, and that they are therefore entitled to statutory allocations. He also accused the Osun government of abuse of court process, claiming multiple suits on the same issue had been filed in different courts.
He asked the apex court to dismiss the case outright.
Root of the crisis
The dispute traces back to the controversial local government elections organised in 2022 by former governor Gboyega Oyetola, shortly before leaving office. The polls, which produced APC chairmen and councillors, were challenged in court by the Peoples Democratic Party (PDP), citing irregularities and violation of the Electoral Act.
Both the Federal High Court and the Court of Appeal later nullified the elections. With Adeleke assuming office, the APC councils were dissolved and caretaker committees appointed in their place. The AGF’s subsequent letter recognising the ousted officials triggered the current legal battle.
