Some stakeholders in both public and judicial sectors have described the abolition of the state and Local Government joint account by the Supreme Court as a welcome development.
They said this while reacting to the apex court’s judgment which held that henceforth all Local Government Area allocations should be paid directly to them from the federation account.
Justice Emmanuel Agim who led a seven-man panel of the justices of the Supreme Court had given the judgment in a suit filed by the federal government against the 36 state governors.
The court barred the 36 governors from receiving, tampering with or withholding funds meant for the local government
The governors were also barred from henceforth dissolving democratically elected officials for local governments and that doing so would amount to a breach of the 1999 Constitution.
A Senior Advocate of Nigeria (SAN), Mohammed Ndarani, said the judgment will bring absolute, unadulterated, uncompromised, unmediated and unmitigated LGA in tandem with President Bola Tinubu’s Renewed Hope Agenda.
“The joint account had made the local government areas an appendage of state governments, and stultified and frustrated the progress which ought to have been made by the LGA councils.
“The funds meant for the development of the areas were simply collated and shared by the actors at the regular joint accounts allocation committee meetings of each state.
“This has caused the erosion of accountability as these local government council leaderships complain of having little or nothing left after the state governments have starved them of all funds meant for development.
“In the process they are left with paltry amounts which the leadership end up squandering too, and nobody holds them accountable.
“Now with this judgment, there is a need to institute serious and comprehensive checks and balances on the spending and performances of these local governments to ensure that the dividends of democracy trickle down to all and sundry.
Chief Peter Ameh, the National Secretary of the Coalition of United Political Parties (CUPP) said the judgment will promote accountability and make elected LGA Chairmen accountable for funds received.
“And if such funds are mismanaged then they can now be invited by the EFCC and other anti-corruption agencies to render account.
“CUPP totally agrees with the Supreme Court that state governors have constituted themselves as dangerous species to the development of democracy in Nigeria, especially as it relates to the management of local government funds.
“They will now allow state INEC the free hand to conduct free and fair elections as the appointment of caretaker committees is now illegal and unconstitutional.
“By this judgment, the suffering masses have been freed financially from the shackles of the governors who have been holding them hostage since 1999 as a result of their warped interpretation of section 162(6) of the 1999 constitution as amended.
“We hope that the financial autonomy granted to the local governments will be the first step to the devolution of powers.
“We want every component state to see the need to think out of the box, go to work, and stop this monthly beggarly allocation by the states to local governments.
“All states have what it takes to survive on its own and become self-sufficient in the generation of resources, if the political will is given a priority”, he said.
Mr Osita Okechukwu, former Director-General, Voice of Nigeria (VON) rated the judgment as an iconic judgment which clearly will restore grassroots democracy in Nigeria.
“To me, the iconic judgment was pure and simple; it will restore grassroots democracy in Nigeria from emperor-governors.
“Today’s judgment has also restructured our local government system; therefore I call on all to monitor and ensure the prudent management of the 20.6 per cent federal revenue allocation to local government councils’’.
He hailed the justices for the restoration of Nigerian’s collective interest in democracy at the grassroots level and the reinforcement of section 7 of the 1999 constitution of the federal republic of Nigeria.
Okechukwu regretted that for 25 years the emperor-governors have violently breached section 7 of the constitution by brazen rigging of local council elections, and by extension mismanagement of the 20.6 per cent local government funds; hence dampening the development of grassroots democracy.
“I salute the Attorney General of the federation, Lateef Fagbemi SAN for the excellent suite which is a signpost for renewal of our hope in grassroots democracy via the temple of justice system.
“Especially when all efforts made in the past 25 years to grant financial autonomy to local government councils via the amendment of the constitution were blocked by these governors’’.
Okechukwu also urged Nigerians to henceforth rise up and monitor the 20.6 per cent federal allocation to all local government areas.
NAN reports the Supreme Court granted full financial autonomy to the 774 local governments in the country.
The seven-member panel in a unanimous decision outlawed the appointment of caretaker committees to administer the local governments by state governors.
The panel also declared that it was illegal and unconstitutional for governors to continue to receive or retain funds allocated to the local councils, under State and Local Government Joint Account.
The court delivered the landmark judgment in suit: SC/CV/343/2024, filed by the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi (SAN) against the 36 state governors.
The federal government also urged the court to issue an order prohibiting state governors from embarking on unilateral, arbitrary and unlawful dissolution of democratically elected local government leaders.
Besides, the Federal Government prayed to the Supreme Court for an order, stopping governors from further constituting caretaker committees to run the affairs of local governments, against the constitutionally recognised and guaranteed democratic system.
It equally applied for an order of injunction, restraining the governors, their agents and privies, from receiving, spending or tampering with funds released from the Federation Account for the benefit of local governments when no democratically elected local government system is put in place in the states.
The apex court held that it is illegal and unconstitutional for governors to continue to receive and seize funds allocated to the benefit of LGAs in their states.
According to the court, the “dubious practice” which has gone on for over two decades, is a clear violation of Section 162 of the 1999 Constitution, as amended.
In its lead judgment delivered by Justice Emmanuel Agim, the Supreme Court further held that no House of Assembly of any state has the power to make laws that could in any manner, grant governors the right to interfere with statutory allocations meant for the council areas.
Stressing that the law mandated that LGAs must be governed by democratically elected officials, the Supreme Court ordered that forthwith, funds meant for councils must be directly paid to them from the federation account.
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