In a landmark ruling, the Supreme Court has declared that it is unconstitutional for state governors to control funds allocated to local government administrations. The court’s seven-man panel, led by Justice Emmanuel Agim, ruled that the 774 local government councils in Nigeria should manage their own funds and resources.
The court emphasized that the power of government is divided into three arms – federal, state, and local – and that state governments have no authority to appoint caretaker committees or interfere with the financial autonomy of local governments. Instead, local governments should be governed by democratically elected officials, which is “sacrosanct and non-negotiable.”
The Attorney General of the Federation, Lateef Fagbemi (SAN), had filed a lawsuit on behalf of the Federal Government, seeking to grant full autonomy and direct funding to all local government councils. The 36 state governments had countered, arguing that the Supreme Court lacked jurisdiction to hear the case. However, Justice Agim dismissed their objections, affirming the AGF’s legal authority to initiate the lawsuit and uphold the constitution.
In his ruling, Justice Agim stated, “I hold that the plaintiff’s request is hereby approved, and all the reliefs granted.” This decision is a significant victory for local governments and a major setback for state governors who have long controlled local government funds. The ruling is expected to have far-reaching implications for the country’s decentralized system of government and the effective delivery of local services.