Osun Drags EFCC to Court Over Freeze on State Bank Accounts
The Osun State Government has begun legal proceedings against the Economic and Financial Crimes Commission (EFCC) after the anti-graft agency reportedly placed restrictions on several of the state’s bank accounts.
The government described the action as illegal, warning that it could slow down government operations and affect the delivery of essential public services.
Speaking on Wednesday, the Attorney General and Commissioner for Justice, Oluwole Jimi-Bada, said Governor Ademola Adeleke had directed him to file a suit at the Federal High Court to challenge the commission’s decision.
According to him, the state received information that the EFCC had issued a “Post No Debit” instruction to First Bank, preventing transactions on a number of government accounts domiciled with the bank.
Jimi-Bada argued that while the EFCC has the statutory responsibility to investigate financial transactions, it cannot freeze a state government’s accounts without first obtaining the approval of a competent court.
“The commission is free to investigate any account, but it cannot place restrictions on a state’s accounts without a court order,” he said.
He warned that the restriction could interfere with the smooth running of government, including the execution of programmes and payment for public services.
“We will challenge the action in court and ensure that the law is followed,” he added.
The state’s Commissioner for Finance, Sola Ogungbile, also reacted to the development, alleging that police officers visited the main branch of First Bank in Osogbo and arrested some members of the bank’s staff during the incident.
Ogungbile dismissed allegations that public funds were being channelled into Governor Adeleke’s re-election campaign, insisting that government resources were not being used for political purposes.
He urged the EFCC to consider the consequences of the account restriction on governance and on residents who depend on government services.
The legal action follows an earlier warning by Governor Adeleke that there were plans to freeze the accounts of the Osun State Government and some senior officials ahead of the August 15 governorship election.
In a statement released through the Commissioner for Information and Public Enlightenment, Kolapo Alimi, the governor described the reported move as lacking legal backing and alleged that it was designed to cripple government activities before the election.
He maintained that no agency has the authority to freeze the accounts of a state government without following due judicial process.
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