The Economic and Financial Crimes Commission (EFCC) has slammed the brakes on a key Osun State government bank account barely a week before the August 15 governorship election.
The move has ignited a storm of condemnation from Governor Ademola Adeleke, opposition parties, and legal experts, who warn the freeze could destabilise the state’s finances and fuel political tension in the run‑up to the polls.
In a letter dated August 5 and reportedly obtained by Vanguard, the EFCC ordered a first‑generation bank to impose a ‘post‑no‑debit’ restriction on Osun State’s account, citing its powers under Section 38 of the EFCC Act 2004 and Section 24 of the Money Laundering Prevention and Prohibition Act. The directive was signed by the commission’s Director of Investigation.
Why the EFCC Says it Acted
The EFCC’s spokesperson said the commission has been investigating the Osun State government since March 2026 over the alleged fraudulent handling of about ₦11 billion linked to Ecology Funds, Intervention Funds, and Federal Account Allocation Committee (FAAC) disbursements, with the state’s Accountant-General among officials who have already been interviewed.
The commission said the freeze itself was prompted by a more immediate concern: it detected unusual, large transfers of funds from the account into various corporate entities beginning August 2, and moved to halt further movement while its investigation continued.
The EFCC maintained that it would not allow the proximity of the election to stop it from acting to protect public funds, and said other state governments are under similar scrutiny.
Governor And State Government Push Back
Governor Adeleke, addressing reporters in Osogbo, called on EFCC chairman Ola Olukoyede to publicly justify the freeze and provide evidence, describing the action as an abuse of the rule of law. He said he has directed the state’s Attorney-General to challenge the freeze at the Federal High Court in Osogbo.
Osun’s Attorney-General and Commissioner for Justice, Oluwole Jimi-Bada, argued that neither of the laws cited by the EFCC grants the commission power to freeze a state government’s statutory account, which he said funds salaries, pensions, healthcare, education and security across the state. He said the matter raises constitutional questions that should be resolved by a court, while stressing the state was not opposed to lawful investigation.
Political Parties Allege Election Interference
The Accord Party accused the EFCC of acting to benefit the ruling All Progressives Congress (APC) ahead of the poll, with its national chairman alleging the commission moved without first securing a court order and vowing to challenge the freeze in court. The African Democratic Congress (ADC) went further, framing the freeze as part of a broader pattern of the federal government using financial pressure against opposition-led states, and linking it to an earlier, separate dispute over withheld local government allocations in Osun.
Legal Opinion Divided
Reaction from legal practitioners was mixed, according to Vanguard. Some, including a Senior Advocate of Nigeria, argued no court would grant such an order this close to an election and questioned the EFCC’s legal authority to interfere with a state’s financial management without the state’s consent. Others said the EFCC does have statutory power to freeze accounts linked to suspected illicit funds, but only when backed by a valid court order and credible evidence — adding that if the freeze disrupts salary payments or essential services, the commission owes the public a clear explanation to avoid the appearance of selective enforcement.
A Separate Vote-Buying Allegation
In a separate development reported alongside the account freeze, the APC in Osun called on the EFCC and the Independent Corrupt Practices Commission (ICPC) to investigate the Adeleke administration over alleged vote-buying, claiming the state government had been paying ₦20,000 into residents’ and workers’ bank accounts in the run-up to the election. The governor’s spokesperson described the payments as a legitimate palliative to civil servants, saying the state began such payments even before implementing the new minimum wage.
As of publication, the EFCC had not responded to the state government’s demand for further justification of the freeze, and no court ruling on the matter had been reported.
