Tinubu Government Freezes Osun LG Funds, Allegedly Favours APC Chairmen with Secret Account Setup Plan
The Bola Tinubu-led federal government has reportedly withheld Osun State’s local government allocations for the past three months March, April, and May 2025 in a move widely interpreted as politically motivated.
According to insider reports, the freeze is part of a broader strategy to recognize and empower local government chairmen affiliated with the All Progressives Congress (APC), sidelining those loyal to the ruling Peoples Democratic Party (PDP) in the state
The controversy stems from the local government elections held in Osun in February under Governor Ademola Adeleke’s PDP-led administration results the APC has refused to acknowledge.
Following the polls, sources say the Office of the Accountant General of the Federation, acting on federal directives, blocked disbursement of statutory LGA funds to Osun.
Allegedly, APC-backed chairmen, with the support of the Central Bank of Nigeria’s Osogbo branch and the Accountant General’s office, attempted to open parallel LGA accounts to directly receive the federal funds.
The Osun State government swiftly protested this move, halting the account setup process by refusing to authorize signatures required for such accounts.
A newly assigned director at the CBN’s Osogbo office reportedly played a key role in trying to facilitate the controversial account openings for the APC-aligned chairpersons, but the effort stalled due to legal and procedural pushback from the Adeleke led state government.
One source disclosed:
“The CBN and Accountant General’s office bypassed the state, engaging directly with APC chairmen to process new account openings. But Osun State wrote to protest and stopped it.”
During a recent Federation Accounts Allocation Committee (FAAC) meeting, Osun representatives raised concerns about the lingering non-release of their LGA allocations, making it clear the state has been financially strained due to the federal stance.
Insiders also revealed that President Tinubu, during a meeting with Governor Adeleke at the Aso Rock Villa, acknowledged awareness of the political tension, particularly the governor’s removal of previously appointed APC chairmen.
Despite a recent Court of Appeal judgment said to favour the PDP, federal authorities have allegedly continued to favour APC-aligned officials. Some APC sources claimed their chairmen had returned to Osogbo to facilitate account openings with backing from the CBN.
This development raises serious questions about the impartiality of federal institutions and the use of public funds as political tools. Meanwhile, Osun residents and officials await clarification and action from the federal government, as the standoff threatens local governance and public service delivery across the state.
