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The Socio-Economic and Accountability Project (SERAP) has filed a lawsuit against the Nigerian Central Bank (CBN) to submit “to express the details of direct payments to 774 Regional Government Councils in Nigeria including the amount sent to each council.”
The absorptive suit follows an important assessment by the Supreme Court last July, which states that the allocation of the federation account with CBN must be paid directly to the democratic elected local government council, and that no governor has the power to save, control or use the money intended for the council.
In the FHC/L/MSc/521/2025 lawsuit number, it was submitted last Friday at the Federal High Court, Lagos, SERAP asked the court to “direct and force the CBN to express the details of direct payments to 774 Regional Government Councils in Nigeria including the amount sent to each council since the highest court decision.”
Absorbing also asked the court to “direct and force CBN to express whether direct payments have been made from the federation account with CBN to the Regional Government Council in the State of Rivers and explained the reasons for the payment.”
In the lawsuit, SERAP argued that, “CBN must allow citizens to have access to any direct payment details to 774 Regional Government Councils to ensure transparency and accountability, and assess whether CBN and other institutions comply with the Supreme Court’s decision.”
Absorbing also argues that “giving the relief sought will be very helpful in promoting values and principles that underlie the 1999 Nigerian constitution [as amended] and is a characteristic inherent from an open democratic society. “
According to the absorption, “The Governor of State of State of the Regional Government Funds and puts it in danger, regardless of the binding Supreme Court orders. The Bright State Governor ignoring the Supreme Court’s orders under the integrity of the court and raises direct challenges to the rule of law.”
Berrap also argues that, “CBN must act for the public interest to ensure that 774 councils in the country directly get their own money from the federation account, as ordered by the Supreme Court.”
Arriving argues that, “CBN also has constitutional and legal obligations to ensure that there is no part of the federation that is regulated in contrast to the Nigerian constitution or by anyone who is not constitutionally empowered to do so.”
Also read: absorbing handling CBN to reveal payments to LGS, explain the payment to the Rivers Council
The lawsuit filed in the name of absorption by his lawyer, Kolawole Oluwadare and MS Oluwakemi Oni, read partly: “CBN must facilitate compliance with the Supreme Court’s orders. If the Governor of the State passes by the court, it will damage the bank’s ability to carry out trustworthy tasks.
“Countries and FCT continue to damage and endanger the existence of local governments and their ability to effectively function as the third level of government as imagined in the Nigerian constitution.
“CBN has constitutional and legal obligations to protect the allocation in federation accounts and public funds that are disbursed from the account directly to each of the three levels of constitutional recognized government.
“CBN also has constitutional and legal obligations to protect any level of federal governance structure so as not to be extinct or destroyed.
“The Regional Government Council is the legitimate owner of their allocation from the federation account.
“Ensuring that all restrictions on direct disbursement of the allocation of the 774 federation account will comply with orders by the Supreme Court and stop the state and territory of the Federal Capital from damaging the allocation ahead of the 2027 General Election.
“The state and FCT no longer have the right to maintain an allocation for local governments in the federation account because they constantly fail to use the allocation for the benefit of the Regional Government Council and Nigeria.
“Disbursement of allocation intended for 774 councils to states will sacrifice the poor of Nigeria and continue to damage their rights and welfare at the bottom of the economy and worsen the increase in poverty in the country.
“CBN can play an important role in revitalizing the 774 council in the country and increasing opportunities for Nigerians who live in the councils. CBN may not allow the state to violate the Supreme Court’s decision and do whatever they like with public funds intended for the Regional Government Council.”
The group also said that “According to the report, the Federation Account Allocation Committee (FAAC) shared a total N1,578 trillion between the three levels of government as the income generated in March 2025.”
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