The Supreme Court of Nigeria on Friday, December 5, 2025, struck out a suit filed by the Attorney General of Osun State challenging the Federal Government’s withholding of allocations meant for the state’s 30 local government councils.
In a 6–1 split decision, the apex court held that the Osun State Attorney General had no locus standi to file the case on behalf of the local governments.
The majority ruled that only elected and inaugurated local government officials are legally recognised as parties who can sue or be sued.
Delivering the lead judgment, Justice Mohammed Idris criticised the Federal Government for withholding local government funds, describing the act as a “grave breach” of the 1999 Constitution.
He admonished that allocations should be paid directly into local government accounts.
Justice Idris added that since there was no evidence that the Attorney General was formally instructed by the local councils, he was not entitled to bring the suit on their behalf.
The court also dismissed the Attorney General of the Federation’s contempt allegations against the Osun AG, noting that the FG itself was in greater contempt for failing to release the funds.
In a dissenting opinion, Justice Emmanuel Agim disagreed with the majority, asserting that the Osun Attorney General had the right to institute the suit.
He described the withholding of local government funds by the Federal Government as detrimental to council operations and in “bad taste.”
The ruling effectively means that only the elected local government officials can now pursue legal action against the Federal Government over the withheld allocations.
