The Federal Government of Nigeria has filed a suit in the Supreme Court to prevent the governors of the 36 states from accessing or altering the 20.6% allocation from the federation account meant for local government areas (LGAs). This legal action comes amidst the recent distribution of N1.208 trillion to the three tiers of government for May 2024, as announced by the Federation Account Allocation Committee (FAAC).
The suit, marked SC/CV/343/2024, was filed by the Attorney General of the Federation and Minister of Justice, Prince Lateef Fagbemi (SAN). In the court documents seen by Nairametrics, Fagbemi contends that despite the clear stipulations of the 1999 Constitution, the governors have consistently failed to establish democratically elected local government systems in their states without a declared state of emergency to justify such inaction.
Federal Government’s Position on LGA Allocations
Fagbemi asserts that all efforts to ensure compliance with the constitutional requirement for democratically elected local governments have been unfruitful. He argues that FAAC allocations designated for LGAs must be deposited directly into their accounts, rather than being funneled through state governments.
The AGF maintains that disbursing these funds to governors for non-existent democratically elected local governments undermines the 1999 Constitution. He emphasizes that the governors, as constitutional representatives, have sworn to uphold the Constitution, which recognizes federal, state, and local governments as distinct tiers of government, each entitled to funds from the Federation Account.
Constitutional Violations and Court Request
Fagbemi points out that the Constitution explicitly requires a democratically elected local government system and does not provide for any other form of governance at the local level. He argues that the federal government should not be obligated to pay states the funds allocated to LGAs where no democratic elections have been held.
The AGF is seeking a Supreme Court declaration that FAAC allocations to local governments should be directly deposited into their accounts, bypassing joint accounts managed by states and LGAs. He has also requested an injunction to prevent state governments from accessing or manipulating these funds in the absence of elected local government councils.
### Upcoming Hearing
The Supreme Court has scheduled the hearing for May 30, 2024. The court is expected to resolve this constitutional matter, which centers on the interpretation of the provisions of the 1999 Constitution concerning the financial autonomy of local governments.
### Background and Implications
The Federal Government receives 52.68% of FAAC allocations, states receive 26.72%, and local governments get 20.6%. The ongoing legal battle highlights the tension between state governments and LGAs over financial autonomy and control of resources. The outcome of this case could significantly impact the governance and financial operations of local governments across Nigeria.
### Conclusion
This legal dispute underscores the federal government’s commitment to enforcing constitutional provisions and ensuring financial transparency and autonomy for local government areas. The Supreme Court’s decision will be pivotal in shaping the future dynamics of Nigeria’s federal structure.
