Politics
Governors May Sue NFIU Over LG Funds
Governors of the 36 states under the aegis of the Nigerian Governors’ Forum (NGF) may take the Nigerian Financial Intelligence Unit (NFIU) to court over its directive that they should not tamper with funds accruing to Local Government Areas from the Federation Accounts, according to The Tide’s source.
The decision to approach the court may, however, wait until the governors exploit their option to use dialogue to resolve the issue.
The source learnt that one of the means of dialogue reached at the meeting of the NGF in Abuja was for its leadership to meet with President Muhammadu Buhari over the NFIU directive.
The NGF, it was also learnt, discussed the possibility of meeting with the Attorney General of the Federation and Minister of Justice, Abubakar Malami, to inform him about what they considered as the illegality of the NFIU’s directive.
The new Chairman of the NGF, who is also the Governor of Ekiti State, Dr Kayode Fayemi, told the source that the possibility of approaching the court had not been ruled out on the matter.
He however stated that the forum would explore all avenues before considering legal option.
“The possibility of approaching the court on the issue is high and has not been ruled out. But we will explore all the avenues for dialogue first. June 1, which the agency gave as the date for implementation of the directive to banks and the LGAs, is fast approaching,” Fayemi said.
Under Nigeria’s revenue sharing formula, the Federal Government takes 52.68 per cent from the federation account, the 36 states 26.72 per cent, while 20.60 per cent is handed to the 774 councils.
However, governors created a join account with local governments in their states through which they control what comes to the LGAs.
The NFIU, on May 1 issued a guideline to reduce vulnerabilities created by cash withdrawals from local government funds throughout the country.
The guideline, amongst others, seeks to systematically restore council’s financial autonomy. It also limited the cash amount that could be withdrawn from any local government to N500, 000 a day.
But the outgoing chairman of the NGF, who is also the Governor of Zamfara State, Abdulaziz Yari, maintained that the NFIU order issued governors not to touch revenues disbursed to local governments every month from the federation account, was unconstitutional.
He said they would take the matter to Buhari to let him know the agency constitutionally lacks power to issue such orders.
“The Forum is concerned with recent guidelines of the Nigerian Financial Intelligence Unit which seeks to impose restriction on the powers of states and local governments to operate within constitutionally approved parameters.
“The new guidelines have no legal basis under the NFIU Act and are contrary to constitutional provisions which put the State Joint Local Government Account under the legislation of the state Houses of Assembly.
“The guidelines will also be detrimental to the interest of the states and local governments by crippling programmes such as the Universal Basic Education programme, Primary Health Care Under One Roof as well as the payment of the salaries of teachers, medical doctors and health workers among others which are primarily funded by State Governments”, he concluded.
Accordingg to the statement, the Board and National Executive Committee of PANDEF, noted with very grave concern the recent spate of political developments in Rivers State.
“Regrettably, these developments have now degenerated into the decision of the Rivers State House of Assembly to commence impeachment proceedings against the governor and deputy governor.
“This is a deeply disturbing situation that demands urgent attention in order to forestall further escalation and breakdown of law and order.
“This concern is heightened by the critical importance and strategic centrality of Rivers to the Niger Delta region and to the broader socio-political stability and economic wellbeing of Nigeria as a whole”, the statement said.
The Forum called on all parties involved in the resurgent political imbroglio to sheathe their swords and embrace peace.
“This should be guided by the principles of give-and-take, dialogue, tolerance, and political equanimity.
“All stakeholders must place paramount importance on peace, development and the welfare of the people of Rivers.
“We must now focus squarely on good governance and development of the state,” the Forum said.
PANDEF commended President Bola Tinubu, the leadership of the All Progressives Congress (APC), respected elders of Rivers State, and other well-meaning Nigerians for their previous and ongoing efforts aimed at restoring peace and stability in the state.
Speaking in an interview on Saturday, January 10, Chief Sara-Igbe alleged that the minister had flouted regulations governing the commencement of electioneering campaigns by moving from one local government area to another to galvanise political support.
According to him, the action amounted to a clear breach of electoral guidelines being carried out with a troubling sense of impunity that could undermine the rule of law.
“Wike has violated the electoral laws of campaigning by going from local government to local government to talk to the people. He travelled from one local government to another. As a result of his visits to local government areas, he has broken election regulations and continues to do all these things without fear of repercussions”, Chief Sara-Igbe said.
The remarks came as Chief Wike was set to round off a state-wide “thank-you” tour that covered all 23 local government areas of Rivers State.
Although the minister had described the tour as an appreciation visit following support for President Bola Tinubu in the 2023 general elections, critics say the engagements have assumed an overtly political character.
Observers note that during several stops, including recent visits to Andoni and Bonny local government areas, the minister rallied supporters across party lines under what he termed a “Rainbow Coalition,” a move widely interpreted as part of a broader political strategy.
During these engagements, Chief Wike was also reported to have made remarks perceived as a veiled challenge to the authority of Governor Siminalayi Fubara, while repeatedly referencing the 2027 elections and urging supporters to prepare to “correct the mistake” of 2023.
Chief Sara-Igbe warned that allowing such activities to continue unchecked could erode public confidence in Nigeria’s electoral process and called on relevant authorities to enforce existing laws without fear or favour.
The Commission, in a statement on Wednesday, claimed that there were plans by the same group to escalate a smear campaign against its Chairman, Ola Olukoyede, to frustrate ongoing investigations and prosecutions involving prominent individuals.
The statement endorsed by the agency’s spokesman, Mr Dele Oyewale, claimed that the action was intended to distract the Commission through unfounded allegations of political bias in the discharge of its duties.
The EFCC warned that it would not stand by and watch “those recruited into this ignoble enterprise” or allow any attempt to derail it from “the patriotic task of improving public accountability in Nigeria.”
The Commission made it clear that those recruited into this venture were under close watch, adding that it would not tolerate any attempt to distract it from the patriotic task of improving public accountability in Nigeria.
“The EFCC reiterates its non-political stance in all its activities. Facts on the ground clearly show that any political actor belonging to the ruling party or opposition party, with corruption baggage, has no hiding place from the operational radar and dynamics of the Commission.
“As a matter of fact, several strong members of the ruling and opposition parties are either facing trial before the courts or being investigated by the Commission.
“It is needful that Nigerians appreciate the fact that the Commission is keeping faith with its Establishment Act in all its operations.
“Therefore, the Commission reiterates its commitment to justice, without fear or favour, in the fulfilment of its mandate,” the statement pointed out.