The Federal High Court in Abuja, on Thursday, rejected the key objections raised by the Central Bank of Nigeria (CBN) and the Accountant-General of the Federation (AGF) in a lawsuit concerning Osun State’s withheld local government funds.
The suit, filed by the Attorneys-General (AG) of Osun, seeks to prevent the Federal Government from releasing local government allocations that were withheld to officials who were elected under the tenure of former Governor Adegboyega Oyetola but have since been sacked.
In his ruling, Justice Emeka Nwite dismissed the defendants’ application to throw out the case, firmly holding that the Osun State AG had locus standi (legal right) to file the suit on behalf of the local government authorities.
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The judge determined that the plaintiff, as the chief law officer of the state, was empowered and duty-bound to act in the public interest, which includes safeguarding local government allocations.
Justice Nwite further ruled that the ongoing suit does not constitute an abuse of court process.
While acknowledging that parallel proceedings may lead to unnecessary and duplicative objectives and judicial resources, he found no evidence that the plaintiff had misused, perverted, or abused the expression of justice or acted in a biased or deliberate manner in seeking the present action.
The court also dismissed a motion filed by the state government that called for the case to be returned to the Osogbo judicial division.
Justice Nwite upheld the transfer of the case from Osogbo to Abuja by the Chief Judge, citing Section 21(1) of the FHC Act, which provides that a Chief Judge may, at any time or stage of the proceedings before final judgment, either on the application of any of the parties to transfer any cause or matter before him to any other judge of the court.”
He ruled that the application challenging the transfer “lacked merit and is hereby dismissed.”
Regarding the state’s allegation of bias, the judge ruled that the accusation was “wholly unfounded and speculative.”
He clarified that bias implies a predisposition that prevents a judge from making an objective determination.
The judge concluded: “A mere administrative act by the Chief Judge transferring a case cannot, by any stretch, amount to bias. The plaintiff has not produced any credible evidence to support such a grave allegation.”
The matter was subsequently adjourned until October 17 for the continuation of the hearing.
Justice Nwite had previously removed the Attorney-General of the Federation from the suit on September 22 after the Osun AG discontinued the case against him due to a similar suit already at the Supreme Court.
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