The Supreme Court on Friday struck out a suit filed by the Osun State Government seeking to compel the Federal Government to release allocations allegedly withheld from the state’s 30 local government councils.
The apex court ruled that the case was procedurally defective and could not be entertained in its current form.
In a split decision of six to one, a seven-member panel held that the Attorney General of Osun State lacked the legal capacity to institute the action on behalf of the councils.
Delivering the lead judgment, Justice Mohammed Idris stated that the councils, being autonomous entities recognised under the Constitution, must personally initiate any challenge to the Federal Government’s actions.
The court clarified that its original jurisdiction was limited to disputes strictly between a state and the Federal Government, and not matters where local governments are the proper parties.
Justice Idris dismissed the argument that the matter qualified as public interest litigation, stating instead that the wrong party had approached the court.
While upholding the preliminary objection filed by the Attorney General of the Federation, the Supreme Court nevertheless cautioned the Federal Government to fully implement its earlier judgment granting financial autonomy to all 774 local government areas across the country.
It stressed that respect for constitutional provisions remained paramount.Osun State had sought declarations preventing the AGF from withholding its allocations and directing payments to sacked APC council officials.
Its counsel, Musibau Adetunbi, SAN, accused the Federal Government of attempting to “destroy the res” by diverting funds despite subsisting court orders.
The Federal Government countered that no valid cause of action was disclosed and argued that the suit amounted to an abuse of judicial process.









