By John Dike, Osogbo
Osun State House of Assembly has raised alarm over alleged illegal disruption of local government administration in the state, accusing former governor Mr. Gboyega Oyetola and the United Bank for Africa Plc (UBA) of involvement in the withholding and diversion of local government allocations.
Addressing a press conference in Osogbo on Sunday, the Speaker, Rt. Hon Adewale Egbedun said the House was compelled to speak out following the continued occupation of local government secretariats by individuals whose elections were allegedly nullified by courts of competent jurisdiction and whose tenures, according to the Assembly, expired on October 22, 2025.
He maintained that such individuals have no legal mandate to administer local governments or interfere in council finances, describing their continued presence in council secretariats as unconstitutional and unlawful.
Citing Section 7 of the 1999 Constitution (as amended), the House stated that while the Supreme Court affirmed financial autonomy for local governments, the constitutional powers of State Houses of Assembly to legislate on local government administration, financial control, and accountability remain intact.
Alleged Illegal Disbursement of Funds
The lawmakers alleged that Mr. Oyetola has no constitutional or statutory authority to issue directives on local government funds or influence banks and security agencies in matters relating to council administration, adding that any familial relationship with the President confers no such powers.
According to the Assembly, credible information available to it indicated that large sums of local government funds were allegedly disbursed under directives attributed to Oyetola.
They alleged disbursements include:₦25 million paid to each of the 30 alleged illegal APC local government chairmen;₦12 million paid to each of the 30 alleged illegal APC vice chairmen; ₦10 million paid to each of the 332 alleged illegal APC councillors;₦130 million paid to selected traditional rulers in the state; and ₦13 billion allegedly paid as legal fees to a private law firm representing the affected officials.
The Assembly claimed that the legal fees were paid from local government funds despite the lawyers being engaged in a private capacity, describing the development as illegal and amounting to criminal diversion of public funds.
The lawmakers warned that any bank releasing local government funds on the instructions of unauthorised individuals would be acting unlawfully and could face criminal and civil liabilities.
Specifically, the Assembly cautioned UBA Plc that all alleged illegal disbursements would be fully recovered and treated as deliberate complicity in financial crimes.
They disclosed that the House had written to several banks, including UBA, to clarify that under Osun State laws, only career officers duly appointed by the Local Government Service Commission are authorised signatories to local government accounts.
The lawmakers commended Governor Ademola Adeleke for what they described as sacrifices made over the past 12 months to ensure the continued payment of salaries to primary school teachers, healthcare workers and local government staff despite the alleged withholding of local government allocations.
The Assembly said it had placed the international community, financial regulators and institutional partners on notice, warning that continued alleged violations could attract reputational and legal consequences beyond Nigeria.
The lawmakers reiterated their commitment to defending democracy, the rule of law and the sanctity of public funds, vowing not to relent until what they described as the prevailing illegality is brought to an end.
