The Osun State Government has taken legal action against the Economic and Financial Crimes Commission (EFCC) after the agency froze its bank accounts.
The government described the action as unlawful, warning that it could disrupt its daily operations.
Speaking on Wednesday, the state Attorney General and Commissioner for Justice, Oluwole Jimi-Bada, said Governor Ademola Adeleke directed him to file a case at the Federal High Court to challenge the EFCC’s decision.
Jimi-Bada said “the state government received information that the EFCC had issued a “Post No Debit” directive to First Bank, where several government accounts are maintained, effectively restricting transactions on the accounts”.
He argued that “although the EFCC possesses the authority to investigate financial transactions, it does not have the power to freeze a state government’s accounts without first obtaining a court order”.
“I have the mandate of the governor to proceed to the Federal High Court to challenge this move. EFCC can investigate the accounts but it can’t freeze the accounts without order of court,” he stressed.
He said the restriction could affect government activities and the delivery of public services across the state.
“This step will affect government running but we will challenge the move and ensure that the agency acts within the ambit of the law.”
Commissioner for Finance Sola Ogungbile also claimed police officers visited First Bank’s main branch in Osogbo and arrested some bank staff. He denied claims that public funds were being used for Governor Adeleke’s re-election campaign and urged the EFCC to consider the effect of the account restriction on governance and residents who rely on government services.
Earlier, Governor Adeleke alleged the move was aimed at disrupting government activities ahead of the August 15 governorship election, saying, “The plot to freeze the state government accounts is meant to paralyse government activities ahead of the August 15 governorship election.”
