Court restrains CBN, others from withholding Kano LG allocation
CBN
Published By: Michael Adesina
By Ramatu Garba
A Kano State High Court, on Monday, issued an order of perpetually injunction restraining the Central Bank of Nigeria (CBN) from withholding funds from the Federation Account to the 44 Local Governments of the state.
The applicant’s are the Chairman of NULGE, Ibrahim Muhd, Ibrahim Uba Shehu, Ibrahim Shehu Abubakar, Usman Isa, Sarki Alhaji Kurawa and Malam Usman Imam.
The applicant’s through their counsel, Mr Bashir Yusuf-Muhammad, filed a motion exparte dated Nov.1, seeking the court to restrain the respondents from withholding or delaying allocations essential for local governance in the State.
The respondents are: the Accountant-General of the Federation(AGF), CBN, the Revenue Mobilization Allocation and Fiscal Commission,(RMAFC) , the 44 Kano Local Government’s, UBA, Access and six other commercial banks.
Delivering the judgement, Justice Ibrahim Musa-Muhammad, held that the applicant’s had established their case.
“I resolve in the affirmative that all the reliefs sought by the applicants are granted as follows:
“By the decision of the Supreme Court of Nigeria in suit No SC/CV/343/2024 Attorney General of Abia State and 35 others.
“The Kano State Local Government Council Electoral Laws 2022, the AGF, CBN, and RMAFC are under a duty to disburse monthly allocations to the 44 LGAs as democratically elected Local Government Councils.
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“A Declaration that withholding these allocations would amount to a breach of the fundamental rights of the residents, inhabitants in the 44 Local government Councils, as guaranteed under Sections 33, 42 and 43,44, 45 and 46 of the 1999 Constitution of the Federal Republic Of Nigeria (As Amended).
“Articles 13,19,22 and 24 of the African Charter on Human and Peoples Rights for the AGF, CBN and RMAFC to exclude the 44 LG in the distribution from funds accruing from the Federation Account in line with Section 162(3) of the 1999 Constitution of the Federal Republic of Nigeria (as amended).”
Earlier, counsel to the applicants, Yusuf-Muhammad urged the court to discountenance the respondents counter affidavit and grant the applicants reliefs.
Counsel to the 44 Local Governments, Ibrahim Isa-Wangida, holding brief for Eyitayo Fatogun, SAN, did not oppose the plaintiff’s application, adding that the disbursement of LG allocations should not be truncated.
Responding, Counsel to wCBN, Mr Ganiyu Ajape, filed notice of preliminary objection dated Nov.14, 2024 pursuant to order 8 rules (1)(2) of the fundamental rights.
He urged the court to strike out the name of CBN in the suit for lacking jurisdiction to entertain the matter and not to grant the applicants relief.
Counsel to United Bank of Africa, Keystone Bank, Mr A B Emmanuel and also a counsel to Guarantee Trust Bank, holding brief for Mr Faruk Asekome, urged the court to strike out their client’s name with a substantial cost.
“My Lord, there is no reasonable cause of action disclosed against our bank. We have no role in the disbursement of Local Government allocations,” Emmanuel argued.
