Reported by: Ijeoma G | Edited by: Henry Owen
OSOGBO, Nigeria — Governor Ademola Adeleke of Osun State has intensified his long‑running public campaign demanding the immediate release of more than ₦130 billion in statutory allocations that he says has been unlawfully withheld from the state’s local governments, deepening a fiscal crisis that is crippling grassroots administration and public services. The appeal, delivered in a statewide broadcast on Monday, comes amid a protracted dispute over council control, constitutional mandates, and federal intervention.
In his address, Governor Adeleke asserted that statutory allocations due to Osun’s 30 local government councils have been withheld since February 2025, with the accumulated total now estimated at roughly ₦130 billion — funds he says are constitutionally owed to councils and critical for paying salaries and running essential services across the state. He described the continued withholding of these allocations as unsustainable, warning that the burden on the state’s finances and its people cannot persist.
Adeleke said the withheld funds are vital to sustaining primary schools, healthcare centres, council workers, traditional councils and retirees, noting that his administration has had to redirect state resources and borrow funds to meet payroll obligations for nearly a year. The governor called the situation “untenable” and a direct threat to grassroots governance, urging federal authorities to act without delay.
At the heart of the crisis is an ongoing dispute over local government leadership in Osun State. Adeleke pointed to the illegal occupation of local government secretariats by officials elected on the platform of the All Progressives Congress (APC) — whose elections were nullified by the Federal High Court in Osogbo in November 2022 and upheld by the Court of Appeal in February and June 2025. He said that despite these judgments, the APC chairmen and councillors continued to occupy council offices, effectively undermining lawful governance at the grassroots level.
“The court removed them, not my administration,” Adeleke stressed, noting that fresh local government elections were held in compliance with the relevant court orders, leading to the inauguration of duly elected chairmen and councillors on February 23, 2025. He described the current occupants of the secretariats as “impostors acting without any lawful mandate,” a situation he says has contributed to the withholding of allocations.
The governor also accused former Osun State Governor Gboyega Oyetola of allegedly backing the occupation of council offices with police support, an act he said undermines the rule of law and democratic order. Adeleke claimed that local government workers attempting to resume their duties were harassed and intimidated by armed police officers and political thugs — allegations that, if substantiated, could add a layer of security concerns to the already tense governance standoff.
In an unusual twist to the financial dispute, Adeleke also criticised the United Bank for Africa (UBA), alleging that the bank allowed unauthorised individuals to operate local government accounts. He said senior bank officials involved in these actions are facing criminal prosecution, and he challenged the bank’s conduct by contrasting it with how financial institutions would be expected to behave in major global financial centres like New York or London.
Adeleke appealed directly to President Bola Ahmed Tinubu and the Federal Government for intervention. While clarifying that he does not believe the President is personally involved in the alleged withholding, he urged federal authorities to ensure the release of the withheld funds and to protect democratic institutions. The governor framed the crisis as a constitutional choice between upholding democratic order and yielding to impunity.
This latest government broadcast is part of a broader legal and political battle that has spanned more than a year. In 2025, the Osun State Government took the federal government to the Supreme Court, seeking to compel the release of withheld allocations and challenge what it described as an unconstitutional seizure of local government funds. However, in December 2025, the Supreme Court dismissed the state’s suit, ruling that the Osun State Attorney‑General lacked legal standing to represent the local governments in that specific action, and emphasised that councils themselves could pursue legal claims if they believed their funds were being withheld unjustly.
Legal experts have said the Supreme Court’s decision did not directly settle the underlying question of whether federal authorities can withhold allocations in such disputes — only who has the right to pursue the case — leaving room for continued contention between the state and federal actors. The court’s ruling drew a distinction between procedural standing in court and substantive constitutional obligations, noting that the federal government must still adhere to earlier judgments requiring direct disbursement of allocations to local governments.
Opposition and civil society voices have weighed in, with organisations like the Nigerian Bar Association (NBA) previously issuing statements asserting that there is no legal basis for the federal government to withhold local government funds and urging their release in line with constitutional provisions. These positions reinforce the state government’s claims and add legal pressure to the political dispute.
The dispute has significant implications for governance, public services and democratic norms in Osun State. Local councils play a critical role in delivering basic services, from education and health to maintenance of local infrastructure and social welfare. Prolonged financial disruption, critics argue, could exacerbate hardship for ordinary citizens — especially in rural communities that rely heavily on local government support.
As the impasse continues, calls for calm, adherence to the rule of law, and respect for judicial decisions have become more urgent. Governor Adeleke appealed to residents and democracy advocates alike to remain peaceful and law‑abiding, emphasising his administration’s ongoing commitment to upholding the Constitution and safeguarding the welfare of the people.
The standoff underscores broader tensions in Nigeria’s federal system over fiscal federalism, local government autonomy and the enforcement of judicial rulings — issues that resonate beyond Osun State and reflect wider challenges in balancing political authority with constitutional governance.
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