States Oppose FCT Funding from Federation Accounts
From Ahamefula Ogbu in Abuja
Federal Government has been asked to stop funding the Federal Capital Territory (FCT) from the Federation Account. Taking this position yesterday in Abuja. The 36 states of the federation said it was in line with the ruling of the Supreme Court on the matter in 2002.
The states' position on this issue was made revealed when they made presentations at the public hearing on the new revenue formula for local governments, organised by the House of Representatives Committees on Judiciary, Justice and States and Local Government.
The public hearing was in response to the local government revenue sharing bill by the executive sent to the National Assembly for enactment.
Opening the salvo, Attorney General of Anambra State, Mr. Udochukwu Nnoruka (SAN), submitted that it was wrong for the FCT to continue to receive allocation from the Federation Account even when the apex Court had clarified the status of FCT not equaling those of states nor were its local governments councils equal to those of the states.
Nnoruka pointed out that section 1(b) of the Bill was unconstitutional since it included the FCT and its area councils, which he felt, fouled section 162(3) of the 1999 Constitution.
He referred to the ruling of the Supreme Court in AGF v Attorney General of Abia State where it held that, "The Federal Capital Territory is not a state. It therefore cannot qualify for distribution of the Federation Accounts, nor are the area councils with the Federal Capital Territory as they are not local government areas with state, as provided in subsection 3 of section 162 of the constitution."
Also, Lagos State, which appeared at the hearing and represented by the Legal Adviser to the Governor, Mr. Ade Ipaye, also shared the same position, describing the continued inclusion of the FCT in the revenue sharing system as unconstitutional.
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