Disbursed Osun LG Funds to be Recovered, Says Assembly Speaker
The Speaker, Osun House of Assembly, Mr Adewale Egbedun, has said the legislative would ensure the recovery of local government funds unlawfully disbursed by by a bank to some council executives.
Egbedun stated this on Sunday during a news conference on the developments and status of the state local government funds.
He said that the legislature had received reliable intelligence that the bank was illegally releasing local government funds in the state to the All Progressive Congress (APC) council chairmen and councillors. Egbedun also claimed that the disbursement was on the authority of a former Osun governor.
“The legislative authority, or the power of the State Houses of Assembly to make laws regulating Local Government administration, financial controls, and accountability, are expressly recognised under Section 7 of the Constitution of the Federal Republic of Nigeria.
“The Financial Autonomy granted the local governments by the Supreme Court does not negate Section 7 of the Constitution,” he said.
The Speaker said under Osun laws and regulations governing local government administration, only career officers duly appointed under the Local Government Service Commission, including Directors of Finance and Directors of Administration and General Services, are lawful signatories to local government accounts.
He said that politicians elected as, chairmen, councilors, treasurers, or political appointees are forbidden from being signatories to local government accounts.
The Speaker said that any bank that releases local government funds on the instructions of unauthorised persons, regardless of who issued such instructions, acts unlawfully and exposes itself and its officers to criminal liability.
He said illegal disbursement of public funds is fraudulent and not a banking practice, adding that it is not a political discretion but a crime.
Egbedun said that the money released to council executives in the state was a gift to them by the bank as every local government fund in the bank would have to be accounted for. #Disbursed Osun LG Funds to be Recovered, Says Assembly Speaker#
