Gov Presses for Release of Withheld ₦130bn LG Funds

Osun State Governor, Ademola Adeleke, has called for the immediate release of an estimated ₦130 billion in local government allocations allegedly withheld from the state’s councils, warning that the continued blockage is crippling grassroots governance and threatening essential public services.

In a statement issued on Monday, Adeleke described the withholding of funds—reportedly ongoing since February 2025—as illegal, unconstitutional, and politically driven. He argued that the statutory allocations belong to the duly elected local government administrations and should not be diverted or frozen under any guise. The governor disclosed that the withheld funds are meant to cover salaries for primary school teachers, health workers across 332 primary healthcare centres, local government employees, traditional council staff, and retirees. He noted that the Osun State Government has been forced to shoulder these financial obligations for several months, a burden he said is becoming increasingly unsustainable. Adeleke further alleged that individuals currently occupying some local government secretariats are doing so without lawful authority, describing them as impostors operating outside constitutional provisions. He accused forces loyal to former Osun State Governor, Gboyega Oyetola, of backing the continued occupation of council offices with the support of security agencies, a development he said undermines democratic governance and the rule of law. The governor also raised concerns over alleged financial irregularities involving United Bank for Africa (UBA), claiming the bank permitted unauthorized persons to operate local government accounts. According to him, senior officials linked to the controversy are already facing criminal prosecution, and he questioned whether such actions would be tolerated in other jurisdictions where the bank operates. Appealing for urgent intervention, Adeleke called on President Bola Ahmed Tinubu to step in and ensure the release of the withheld funds. He emphasized that the President should not be blamed for the crisis but urged him to “rescue Osun local governments from an unlawful siege. Framing the dispute as a broader constitutional issue, Adeleke stressed that Nigeria’s Constitution does not permit tenure elongation at the local government level, warning that any attempt to bypass legal processes threatens democracy at the grassroots. He urged Nigerians, civil society organizations, and pro-democracy advocates to demand the immediate restoration of lawful local government administration, while encouraging residents of Osun State to remain peaceful and law-abiding amid the ongoing political and financial tensions. The development has further intensified debates over local government autonomy, federal-state relations, and political influence in grassroots administration, with observers calling for swift legal and political resolution to prevent service disruption and deepen public trust.