Osun State Governor, Ademola Adeleke, has instituted a ₦2 billion lawsuit against the Economic and Financial Crimes Commission (EFCC), challenging the agency’s decision to freeze the state’s Federal Statutory Allocation Account.
The suit, filed before the Federal High Court in Abuja, also lists the Attorney General of Osun State and the Accountant General of the state as co-plaintiffs. Named as defendants are the EFCC, its Chairman, and First Bank Nigeria Limited, where the account is domiciled.
Through a legal team led by Senior Advocate of Nigeria (SAN), M. T. Adekilekun, the plaintiffs are asking the court to determine whether the EFCC acted within the law by directing the restriction of the state’s allocation account without first obtaining a valid court order.
The suit argues that the agency’s action contravenes the provisions of the 1999 Constitution, the EFCC Establishment Act, 2004, and the Money Laundering (Prevention and Prohibition) Act, 2022. According to the plaintiffs, the commission lacks the statutory authority to freeze or place a post-no-debit restriction on a state government’s account without judicial approval.
The plaintiffs further contend that the directive issued by the EFCC on August 5, 2026, instructing First Bank to freeze the Osun State Federal Statutory Allocation Account, amounted to an unlawful exercise of executive power. They maintain that the action undermines due process, violates the financial autonomy guaranteed to states under the Constitution, and threatens the government’s ability to discharge its constitutional responsibilities to the people of Osun State.
In addition, the suit questions whether First Bank acted lawfully by complying with the EFCC’s directive in the absence of a valid and subsisting court order. It argues that the bank breached its duty of care to its customer by enforcing the restriction solely on the basis of an administrative instruction.
Among the reliefs sought, the plaintiffs are asking the court to declare the freezing of the account unlawful, unconstitutional, null and void. They are also seeking an order directing First Bank to immediately lift all restrictions on the account and restore the state’s unrestricted access to its funds.
The suit further requests perpetual injunctions restraining the EFCC from freezing or interfering with any Osun State Government account without following the due process prescribed by law. It also seeks an order preventing First Bank from acting on similar directives unless backed by a valid court order.
Beyond the declaratory and injunctive reliefs, the plaintiffs are demanding ₦2 billion in exemplary and aggravated damages for what they describe as the unlawful interference with public funds, in addition to the cost of the litigation.
No hearing date has been fixed for the case.
The lawsuit comes amid a growing controversy over the freezing of the account. The EFCC confirmed that it placed the restriction on the account as part of an ongoing investigation into the alleged diversion and fraudulent handling of Ecology Funds, Intervention Funds, and Federal Account Allocation Committee (FAAC) allocations, involving about ₦11 billion.
The commission stated that its investigation into the Osun State Government began in March 2026 and insisted that the action was unrelated to the forthcoming governorship election.
Governor Adeleke, however, maintains that the freezing of the account is unconstitutional and represents a violation of the state’s financial rights.
The development also drew the attention of President Bola Tinubu, who directed the EFCC to immediately approach the court to facilitate the unfreezing of the account.
The President later stated that while he supports the EFCC’s anti-corruption mandate, he was concerned by the timing of the action, describing it as unfortunate in the prevailing political atmosphere.
