Osun Threatens Lawsuit After EFCC Freezes State Allocation Account

OSOGBO, Nigeria — The Osun State Government has threatened legal action against the Economic and Financial Crimes Commission (EFCC) after the anti graft agency ordered First Bank to freeze the state's statutory allocation account.

According to the state government, the directive could disrupt government operations and affect the delivery of public services across the state. The order was issued as part of an ongoing EFCC investigation into the state's finances. 

Osun Attorney General and Commissioner for Justice, Oluwole Jimi Bada, said the government would challenge the action in court, insisting that the agency must act within the law. He argued that freezing the account could hinder the state's ability to carry out its constitutional responsibilities. 

Governor Ademola Adeleke also questioned the basis for the action, saying the state had not been presented with sufficient justification for the freeze. He called on the EFCC to explain the decision and said the matter would be taken before the Federal High Court. 

The EFCC instructed First Bank to place a post no debit restriction on the account pending the conclusion of its investigation. The commission said the directive was issued under the relevant provisions of the EFCC Act and the Money Laundering Prevention and Prohibition Act. 

The development comes just days before the Osun State governorship election, a timing that has added to political tension in the state. The EFCC had not issued a detailed public response at the time of publication. 

Scoop Room HQ will continue to monitor the situation and provide updates as more information becomes available.