Osun State Governor Ademola Adeleke has sued the Economic and Financial Crimes Commission (EFCC), demanding N2 billion in compensation over the alleged unlawful freezing of the state’s Federal Statutory Allocation Account (FAAC).
The suit, filed before the Federal High Court in Abuja, also names the EFCC Chairman and First Bank Nigeria Limited as defendants, while the Osun State Attorney General and Accountant General joined Adeleke as co-plaintiffs in the action challenging the account restriction.
The plaintiffs, through a team of lawyers led by M. T. Adekilekun on Thursday, argued that the anti-graft agency lacked the legal authority to freeze or restrict the state’s statutory allocation account without first obtaining a valid order from a court of competent jurisdiction.
They urged the court to determine whether the EFCC’s directive to First Bank to place a “post no debit” restriction on the account violated Sections 1, 6, 36, 44 and 162 of the 1999 Constitution, as amended, as well as Section 34 of the EFCC Establishment Act, 2004, and Section 7(6) of the Money Laundering (Prevention and Prohibition) Act, 2022.
The plaintiffs contended that the EFCC’s August 5, 2026 directive to the bank, allegedly issued without any prior or concurrent court order, amounted to executive lawlessness, abuse of statutory powers and a violation of the constitutional principles of due process, the rule of law and the financial autonomy guaranteed to federating states.
They also questioned whether First Bank acted lawfully by complying with the EFCC’s administrative directive to freeze the account, arguing that the bank owed a duty of care to the Osun State Government and should not have imposed restrictions without a subsisting court order.
Consequently, the plaintiffs asked the court to declare the freezing of the account unlawful, unconstitutional, null and void, maintaining that the action exceeded the statutory powers of the EFCC and unlawfully interfered with the state’s constitutional responsibilities.
They further sought an order nullifying the restriction placed on the account, directing First Bank to immediately restore unrestricted access to the funds, and restraining both the EFCC and the bank from imposing similar restrictions on any Osun State Government account without due legal process.
In addition, the plaintiffs requested a perpetual injunction preventing the EFCC from freezing or interfering with any state account without obtaining a court order and an order restraining First Bank from acting on administrative directives from the commission unless such directives are backed by judicial authorisation.
The suit also seeks N2 billion in exemplary and aggravated damages for what the plaintiffs described as the unlawful interference with public funds, alongside the cost of the litigation.