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Independentng.com homepage - Home of Independent Newspapers Nigeria LimitedSupreme Court to Obasanjo: Release local govt fund

 

Last Updated: Saturday, December 11th, 2004

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Supreme Court to Obasanjo: Release local govt fund

�It�s victory for federalism �Tinubu

rotimi fadeyi, lekan sanni and

sakibu olokojobi

The Federal Government has been told in clear terms that it cannot withhold statutory payments to state or local governments. It has also been told to pay all outstanding allocations, plus arrears, only tolocal governments recognised by the constitution; meaning that newly created local governments remain inoperative until a law passed by the National Assembly validates them.

These are the highlights in thejudgement handed down by the Supreme Court on Friday in the case between the Federal Government and the Lagos State Government.

Reacting to the ruling, Lagos State Governor, Asiwaju Bola Ahmed Tinubu, described it as a victory for federalism.

In the same vein, the Lagos State Chapter of the Peoples Democratic Party (PDP), described the verdict as a victory for democracy and the party, just as hundreds of

Alliance for Democracy (AD) supporters in joyous mood besieged the Government House, Alausa, to jubilate over the victory.

In the lead judgement of the Chief Justice of Nigeria (CJN), Justice Muhammadu Lawal Uwais, directed that the withheld outstanding statutory allocation would be for the 20 local government areas recognised by the constitutin.

The Lagos State government had, in May this year, instituted a suit against the Federal Government over the withholding of the allocation due to local governments.

But the Federal Government in its defence, said that the money was put on holdbecause of the creation of additional 37 local government areas by the state.

Three other states, Nassarawa, Niger and Katsina that were also affected by the decision of the Federal Government joined Lagos at the Supreme Court to challenge the decision of the Federal Government.

The court held that the president has no power vested in him (by executive oradministrative action) to suspend or withhold for any period whatsoever thestatutory allocation due to Lagos State government pursuant to the provision of section 162 (5) of the 1999 constitution but in respect of the 20 local government areas for the time being provided by

section 3 sub section (6) of the constitution and not the new local government areas created which are not yet operative.

Justice Uwais declared that the intention or proposal of the Federal Government to suspend or withhold, for any period, whatsoever the statutory allocation due payable to Lagos State government pursuant to the provisions of section 162 (5) of the Federal Republic of Nigeria 1999 would, if carried out, be unlawful and contrary to the provisions of the constitution.

He, however, noted that the statutory allocation are only for the 20 local government councils for the time being recognised by section 3 sub section (6) and part 1 of the First Schedule to the Constitution.

The court further held that the 57 local government areas established by Law 5 are inchoate until the National Assembly passes the Act necessary under section 8 (3) of the constitution. Therefore the new 57 local government councils are not entitled to receive fund from the Federation Account.

The apex court refused the prayers of the Federal Government to nullify the elections conducted by Lagos State on March 27, 2004 because all the parties interested in the elections, namely the chairmen-elect as well as the Lagos State Independent Electoral Commission have been joined in the case.

It also refused to grant the order to restrain the Lagos State Government, the Lagos State House of Assembly or any other functionaries or agencies not to finance and recognise any local government apart from those created under Part 1 of the First Schedule of the 199 constitution, saying that the National Assembly could at any time deems fit exercise its powers under section 8 (5) of the constitution to amend section 3 (6) and Part 1 of the First Schedule to the constitution.

Six other justices of the apex court: Idris Legbo Kutigi; Anthony Ikechukwu Iguh; Samson Odemwingie Uwaifo; Niki Toby; Dennis Onyejife Edozie and Sunday Akinola Akintan all agreed with the lead judgement of Uwais.

Tinubu noted that once again, the position of the Lagos State government that the �Federal government, as a co-ordinate tier, is not superior to the state�.

According to the governor, the state all along believed in the appropriateness of its cause and the legitimacy of the decision to respond to the yearnings of her citizens as well as impartiality of the supreme court.

On the legality of the 37 newly created local governments, Tinubu disclosed that the priority of the state in the coming months is to �prevail on the National Assembly to perform its constitutional obligation and carry out its duty in the interest of democracy and the rule of law�.

Tinubu also disclosed that the Supreme Court judgement was already being executed �with the fullest co-operation of the federal government and personal supervision of Mr. President Chief Olusegun Obasanjo.�

Addressing a press conference in Lagos shortly after the judgement, the Lagos State chairman of the PDP, Alhaji Muritala Ashorobi. said the party had been vindicated in its claim that the creation of new local governments by the Lagos state government was unconstitutional.

He said with the ruling of the court, the new local governments had been nullified, and therefore stood to reasoning that the last local government election was as well illegal.

Ashorobi said, the onus was on the Lagos State Independent Electoral Commission (LASIEC) to conduct a fresh election into the original 20 local governments.

Justifying the withholding of the allocation of the original local governments in Lagos State, Ashorobi said the councils were not existing as elections were not conducted in them but the 57 which had been declared unconstitutional.

The PDP chieftain expressed the readiness of his party for a new local government election, stressing that PDP would this time around emerge victorious.

Present at the conference were the Minister of Works, Senator Adeseye Ogunlewe, a member of the House of Representatives who defected to the PDP from the Alliance for Democracy recently, Mr. Femi Onimole, and former governorship candidate of PDP in Lagos State, Engr. Funsho Williams among others.

While addressing AD supporters at the Round House, Alausa, Lagos Tinubu praised them and Lagosians for their patience and perseverance.

He said that the state government never asked that the newly created councils drew fund from the federation account until they werelisted by the National Assembly.

 

 


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