Osun challenges EFCC over restriction of state account

Counsel to the Osun State Government, Prof. Mubarak Adekilekun (SAN), has insisted that the Economic and Financial Crimes Commission (EFCC) did not serve the state government or First Bank with a court order before restricting access to the state’s statutory allocation account.

Adekilekun made the claim on Friday while appearing on Channels Television’s Politics Today, amid the ongoing controversy over the EFCC’s restriction of the account.

According to the Senior Advocate of Nigeria, the law requires a court order to be obtained and served, particularly on the affected bank, before such a restriction can be imposed.

He said the EFCC’s letter to First Bank was later forwarded to the Osun State Government, but the bank confirmed that no court order accompanied the directive.

“The requirement of the law in this regard is that a court order must be issued and served on, especially, First Bank,” Adekilekun said.

He acknowledged that the EFCC has statutory powers to act where financial crimes are suspected but argued that those powers must be exercised in accordance with the Money Laundering (Prevention and Prohibition) Act.

He specifically cited Section 7 of the Act, which he said requires a court order to be served before a Post No Debit (PND) restriction can be placed on the account.

“You can’t just go in and say, ‘We are using our power vested in the Chairman of EFCC’ to now put a PND on the State Government’s statutory account,” he said.

Adekilekun also rejected the argument that the EFCC could initially restrict the account for 72 hours before obtaining a court order, insisting that the commission was required to obtain the necessary judicial authorisation.

He further dismissed allegations of money laundering involving the account, saying it was used only for receiving allocations from the Federation Account.

“The only money that is being transferred to that account is from the Federation Account,” he said.

The lawyer’s position contrasts with that of human rights lawyer and Senior Advocate of Nigeria, Femi Falana, who earlier maintained that the EFCC had acted within its legal powers.

Falana said the commission could place a PND restriction on an account for up to 72 hours while seeking a court order, citing a 2022 Court of Appeal judgment involving the Benue State Government and the EFCC.

He said the judgment affirmed the commission’s authority to impose such a restriction for not more than 72 hours before obtaining judicial approval.

The controversy intensified after President Bola Ahmed Tinubu directed the EFCC to return to court to seek the vacation of the order and discontinue the action, citing the timing of the restriction ahead of the August 15 Osun governorship election.

Asked whether the Osun State Government would continue with its legal challenge despite the President’s intervention, Adekilekun said the decision would ultimately rest with his client.

“It depends on what my client thinks, which is the Osun State Government. If they give us the go-ahead, but I think and I believe that it should be tried,” he said.