Osun Council funds crisis deepens as Court retains order on Bank accounts

News Update

Tension continues to rise over the control of Osun State local government funds as the Oyo State High Court in Ibadan on Tuesday extended an order freezing 30 bank accounts linked to the disputed allocations.

Presiding judge, Justice Ladiran Akintola, issued the extension while adjourning the matter to November 27, 2025, for ruling on applications challenging the court’s jurisdiction and motions filed by the All Progressives Congress (APC) and the Peoples Democratic Party (PDP) seeking to join the suit as interested parties.

In a key ruling, Justice Akintola dismissed an application by UBA Plc requesting an indefinite adjournment of the proceedings pending the outcome of a related case before the Supreme Court.

The judge held that the request could not be granted while issues of jurisdiction and joinder were still pending, emphasizing that the case must progress within a reasonable timeframe.

Counsel to the claimants, Mr. Musibau Adetunmbi (SAN), urged the court to reject the APC and PDP’s applications, arguing that both parties lacked the legal standing to participate in the suit. “The APC is a complete stranger to this matter and therefore lacks the locus standi to file any application,” Adetunmbi said, maintaining that the court possessed the requisite jurisdiction to hear the case.

However, APC’s lead counsel, Mr. Kazeem Gbadamosi (SAN), faulted the competence of the court, contending that under the 1999 Constitution, only local government councils have the authority to manage local government funds.

He also challenged the court’s territorial jurisdiction.

Responding, counsel representing the Attorney General of Osun State opposed Gbadamosi’s position, citing judicial precedents affirming the court’s authority to adjudicate on the matter.

After listening to the parties, Justice Akintola adjourned the case for ruling on the jurisdictional and joinder motions.

In a related development, the judge referred a separate suit filed by the PDP against UBA Plc to the Chief Judge of Oyo State for reassignment to another court.