NBA President Afam Osigwe, SAN, has declared that no security or anti-graft agency possesses the statutory or constitutional power to freeze the operational bank accounts of a federating state government. Speaking on the reported attempt by the Economic and Financial Crimes Commission (EFCC) to restrict the Osun State Government’s accounts, the leader of the legal bar characterized the move as unconstitutional, illegal, and a gross abuse of regulatory power.
Why is the Nigerian Bar Association challenging the EFCC over state accounts?
The President of the Nigerian Bar Association issued a stern warning against federal institutions exceeding their statutory boundaries to destabilize subnational governance. Osigwe emphasized that under the 1999 Constitution of the Federal Republic of Nigeria, states operate as autonomous federating units with dedicated public treasuries. Freezing a state’s bank accounts effectively paralyzes public administration, halting civil service salary payments, municipal health services, local security funding, and essential public infrastructure projects. Osigwe stated that while the fight against corruption remains vital, federal law enforcement must operate strictly within legal parameters rather than resorting to arbitrary administrative blockades.
Furthermore, legal experts point out that state finances are primarily subject to oversight by the respective State House of Assembly under constitutional checks and balances. Unilateral action by a federal executive agency to lock down state accounts undermines the principles of federalism and sets a dangerous precedent for democratic governance. Osigwe urged law enforcement authorities to respect existing judicial precedents that protect state financial operations from arbitrary administrative freeze orders, insisting that accountability must be pursued through constitutional legal processes.
- Unambiguous declaration that no anti-graft agency holds legal authority to freeze state treasury accounts.
- Warning against institutional overreach that paralyzes public administration and essential state services.
- Reaffirmation of subnational financial autonomy under Nigeria’s federal constitutional structure.
- Call on federal law enforcement agencies to strictly adhere to due process and constitutional limits.
“No agency has the power to freeze a state government’s accounts. Such actions are unconstitutional, illegal, and constitute a profound abuse of power that threatens our federal structure.”
As legal debate over subnational treasury protection intensifies, constitutional lawyers are preparing to support legal challenges aimed at defining the exact limits of federal investigative powers. Meanwhile, governance advocates continue urging anti-graft bodies to maintain procedural integrity while executing their statutory mandates. The resolution of this dispute will significantly clarify the balance of power between federal law enforcement and state financial autonomy. Will the EFCC adjust its regulatory enforcement strategies to align with the constitutional boundaries highlighted by the legal community?
