Again, the House of Representatives Minority Caucus has demanded for the immediate release of Osun State Local Government funds.

Recall that the Caucus had earlier issued a statement dated August 2nd 2025 entitled: ‘Let Osun LGAs Breath’ and signed by its leaders: Rep. O.K Chinda, Minority Leader; Rt. Hon. Dr. Ali Isa J.C, Minority Whip; Rt. Hon. Aliyu Madaki, Deputy Minority Leader and Rt. Hon. George Ozodinobi, Deputy Minority Whip stating that:

“The Caucus will use the only weapon it has which is its legislative action as that seems to be the available option to drive home its message if the funds are not released”.

Hear the Caucus, “The Caucus of the House of Representatives is deeply concerned by credible reports that the Federal Government has been withholding statutory allocations meant for the Local Government Councils in Osun State since February 2025.

“There is no legal basis for this action. Section 162 of the 1999 Constitution is clear that local governments are entitled to their allocations from the Federation Account.

“The Supreme Court has also affirmed in A.G Lagos State vs. A.G Federation (2004) that the President has no power to suspend or withhold such funds.

“The withholding of these allocations is not only unconstitutional but also a blatant disregard for the rule of law and judicial pronouncements.

“This action, which violates the 1999 Constitution and judicial rulings, with severe political and socio-economic implications, undermines the autonomy of local governments, erodes public confidence in our democratic institutions and sets a dangerous precedent for impunity.Political Implications .

“The withholding of these funds undermines the democratic process and the rule of law. It disregards clear judicial pronouncements from the Court of Appeal on February 10, 2025, and June 13, 2025, as well as the Osun State High Court’s judgment on February 21, 2025, which affirm the elected officials of the People’s Democratic Party, sworn in after the February 22, 2025, elections, as the legitimate representatives entitled to manage these allocations.

The Caucus further stressed that: “These elected officials, under the law, are the legitimate authorities entitled to administer the councils and to receive their due allocations.

“This interference risks escalating political tensions, fueling distrust in federal institutions, and creating an impression of partisan overreach.

“It sets a dangerous precedent that could embolden similar actions against other states, weakening Nigeria’s federal structure and eroding public confidence in democratic governance.

“Implications for Families and Local EconomiesThe withholding of these allocations has dire consequences for families of local government workers and the economies of Osun State’s local government areas.

“These funds are critical for paying salaries, pensions, and other entitlements, as well as funding essential services like healthcare, education, and infrastructure. Without them, thousands of workers face financial hardship, unable to meet basic needs such as food, housing, and medical care.

“This places immense strain on families, exacerbating poverty and social unrest. Local economies suffer as reduced purchasing power stifles small businesses, markets, and service providers’ dependent on workers’ incomes. Delayed projects and services further hinder development, leaving communities without vital amenities and deepening economic stagnation.

“The Constitution, under Sections 7 and 162, guarantees local government financial autonomy, and the Supreme Court in A.G of Lagos State vs. A.G of Federation (2004) ruled that the President has no authority to withhold these funds.

“We call on the Federal Government to respect the Constitution, uphold court rulings, and immediately release the allocations to the duly elected officials in Osun State.

“This is critical to restoring trust in governance, alleviating the suffering of workers’ families, and reviving local economies.

“We call on the President and Commander in chief to immediately direct all relevant authorities to release all funds meant for Local Government Councils in Osun State without further delay and advise all government authorities to abide by the rule of law and justice.

SEE PREVIOUS RELEASE BELOW:

Press Statement by the Minority Caucus of the House of Representatives on 2nd August 2025Let Osun LGAs breath.

The Minority Caucus of the House of Representatives is deeply concerned by credible reports that the Federal Government has been withholding statutory allocations meant for the Local Government Councils in Osun State since February 2025. There is no legal basis for this action. Section 162 of the 1999 Constitution is clear that local governments are entitled to their allocations from the Federation Account. The Supreme Court has also affirmed in A.G Lagos State vs. A.G Federation (2004) that the President has no power to suspend or withhold such funds. The withholding of these allocations is not only unconstitutional but also a blatant disregard for the rule of law and judicial pronouncements.

This action, which violates the 1999 Constitution and judicial rulings, with severe political and socio-economic implications, undermines the autonomy of local governments, erodes public confidence in our democratic institutions and sets a dangerous precedent for impunity.Political ImplicationsThe withholding of these funds undermines the democratic process and the rule of law.

It disregards clear judicial pronouncements from the Court of Appeal on February 10, 2025, and June 13, 2025, as well as the Osun State High Court’s judgment on February 21, 2025, which affirm the elected officials of the People’s Democratic Party, sworn in after the February 22, 2025, elections, as the legitimate representatives entitled to manage these allocations.

These elected officials, under the law, are the legitimate authorities entitled to administer the councils and to receive their due allocations. This interference risks escalating political tensions, fueling distrust in federal institutions, and creating an impression of partisan overreach. It sets a dangerous precedent that could embolden similar actions against other states, weakening Nigeria’s federal structure and eroding public confidence in democratic governance.Implications for Families and Local EconomiesThe withholding of these allocations has dire consequences for families of local government workers and the economies of Osun State’s local government areas. These funds are critical for paying salaries, pensions, and other entitlements, as well as funding essential services like healthcare, education, and infrastructure. Without them, thousands of workers face financial hardship, unable to meet basic needs such as food, housing, and medical care.

This places immense strain on families, exacerbating poverty and social unrest. Local economies suffer as reduced purchasing power stifles small businesses, markets, and service providers’ dependent on workers’ incomes. Delayed projects and services further hinder development, leaving communities without vital amenities and deepening economic stagnation. The Constitution, under Sections 7 and 162, guarantees local government financial autonomy, and the Supreme Court in A.G of Lagos State vs. A.G of Federation (2004) ruled that the President has no authority to withhold these funds.

We call on the Federal Government to respect the Constitution, uphold court rulings, and immediately release the allocations to the duly elected officials in Osun State. This is critical to restoring trust in governance, alleviating the suffering of workers’ families, and reviving local economies.We call on the President and Commander in chief to immediately direct all relevant authorities to release all funds meant for Local Government Councils in Oyo State without further delay and advise all government authorities to abide by the rule of law and justice.

Signed:

Rep. O.K Chinda, Minority Leader; Rt. Hon. Dr. Ali Isa J.C, Minority Whip; Rt. Hon. Aliyu Madaki, Deputy Minority Leader and Rt. Hon. George Ozodinobi, Deputy Minority Whip.