Mixed reactions as FG releases withheld allocations to Osun APC LG Chairmen

…as NULGE insists action is illegal, alleges plot to destablize State…

…APC chides union as “arm of PDP”

The Federal Government’s decision to release withheld statutory allocations to local government chairmen belonging to the Osun All Progressives Congress (APC) has ignited a wave of mixed reactions and controversy where the political leadership of the councils remains fiercely contested.

While the beneficiaries and the ruling party have lauded the move, describing it as a victory for the rule of law, opponents and key labour unions have swiftly condemned the action as a gross act of illegality and political favouritism.

NewsDirect can authoritatively report that jubilation has erupted across the APC camp, with numerous party members celebrating the leadership and hailing the reinstated Chairmen as beneficiaries of the landmark local government autonomy judgment.

The Federal Government is now caught in the crossfire between its decision to release the allocations and the strong pushback from state governments and local union bodies who view the move as a dangerous precedent that undermines constitutional governance and the principles of local government administration.

The most vociferous opposition has come from the Osun State chapter of the Nigerian Union of Local Government Employees (NULGE), Osun state chapter which insists that the disbursement of funds to the APC local government chairmen is unlawful.

NULGE leadership described the action as subverting the judicial process, pointing to a complex legal battle surrounding the legitimacy of the council officials who were initially removed from office and whose case is reportedly still subject to higher court determination.

The Union accused the Minister of Finance, the Accountant General of the Federation, and the Attorney-General and Minister of Justice of the Federation of abuse of power for releasing six months Local Government Councils allocations to “sacked’ All Progressives Congress (APC) Chairmen.

Addressing journalists on Sunday, the State President of NULGE, Dr Nathaniel Ogungbangbe disclosed that three Principal Officers of the Federal Government have paid the local government funds to illegal Bank Accounts opened by ‘”sacked'” APC Chairmen and Councilors.Ogungbangbe said that action of trio have no respect for rule of law and Constitution.

He insisted the union cannot work with the alleged ”sacked” politicians by competent Courts of Law.According to him, “the crisis rocking the Local Government Councils in Osun State is no longer news.

However, we need to address you on the current abuse of power by the Honourable Minister of Finance, the Accountant General of the Federation, and the Honourable Attorney-General and Minister of Justice of the Federation.”

“Today, we have it on good authority that these three Principal Officers of the Federal Government have released the Osun State Local Government Councils Allocations for the month of March, 2025 to August, 2025 to the illegal Bank Accounts opened by court-sacked APC Chairmen and Councilors.”

“We find this development very scary and alarming. Paying Local Government Allocations into privately opened and illegal Bank Accounts of politicians is unbelievable, bizarre and unprecedented in the history of public administration in Nigeria.

“These funds were paid to the accounts opened by these APC men with United Bank for Africa (UBA) Plc. Despite the fact that due process was not followed in opening the said accounts.

“We have no iota of doubt that the Federal High Court and the Court of Appeal had effectively sacked these purported APC Chairmen and Councilors from Office.

“New Elections have been held with new Chairmen and Councilors elected and Sworn-in. The Attorney-General cannot assume the role of the Supreme Court by setting aside the judgment of the Court of Appeal, which affirmed the sacking of the APC politicians by the Federal High Court. The Attorney-General is NOT above the law.

“We wish to state unequivocally that the alternative to the rule of law is what we do not want for our state. On our part, we appeal to all the good people of Osun State not to give the enemies of the state any room to cause crisis in the State.”

“Their ultimate goal is to cause anarchy and use it to call on the Mr. President to declare a State of Emergency in the state so that they could loot our resources.””We appeal to Mr. Governor to continue to ensure absolute peace in the state as he is excellently doing. Let all of us have faith in the Almighty God and our Courts. By His special grace, this cup shall soon pass.”

The President notedReacting, the Osun State chapter of the All Progressives Congress (APC) accused the NULGE leadership, headed by Comrade Kehinde Nathaniel Ogungbangbe, of acting as a political tool for the Peoples Democratic Party (PDP) and deliberately spreading falsehoods regarding the release of local government allocations.

In a press statement issued on Sunday, September 28, 2025, titled “Osun NULGE’s Many Lies On Council Allocations Debacle,” the APC slammed Ogungbangbe for holding a press conference earlier in the day to “spew series of lies and deliberate ignorance” concerning the payment of accumulated federal funds to the local councils.

The party insisted it is not the duty of NULGE to interpret court judgments and emphasized that the Court of Appeal judgment of February 10, 2025, which reinstated the APC council chairmen and councilors, remains in force as no appeal against it has been recorded.

The APC vehemently refuted claims that the released federal allocations were paid into the private accounts of any APC member or chieftain, clarifying that the funds were deposited directly into the respective local government councils’ official accounts.

The party questioned the union’s shift in focus, stating that NULGE’s previous “sing-song” was against the Federal Government agencies withholding the funds.”It is visible to the blind, audible to the deaf and tangible to the morons that the members of the labour union are working for the interest of the PDP Governor Adeleke,” the statement asserted, dismissing the union’s claims of being apolitical.

The party further concluded by advising NULGE officials to abandon “brigandage and crisis” and embrace the “rule of law,” while also calling on security agencies, including the Police, DSS, and Civil Defence, to maintain “water-tight vigilance” to protect the peace-loving people of the state.