BREAKING; Court bars CBN, AGF, others from releasing allocation to Rivers State – Crime Channels
BREAKING; Court bars CBN, AGF, others from releasing allocation to Rivers State
The Federal High Court in Abuja, on Wednesday, restrained the Central Bank of Nigeria (CBN) from further releasing monthly financial allocations to Rivers government.
The News Agency of Nigeria (NAN) reports that the order also affected the Accountant-General of the Federation (AGF), Zenith Bank and Access Bank where the state government also banks.
Justice Joyce Abdulmalik, in a judgment, held that the receipt and disbursement of monthly allocations since January 2024 by Gov. Siminalayi Fubara of Rivers is a constitutional somersault and aberration that must not be allowed to continue.
Justice Abdulmalik held that the presentation of the 2024 Budget by Fubara before a 4-member Rivers House of Assembly was an affront to the constitutional provision.
The judge said that Fubara’s action in implementing unlawful budget had smacked gross violations of the 1999 Constitution he swore to protect.
She, consequently, ordered the CBN, AGF, Zenith Bank and Access Bank from further allowing Fubara to access money from the Consolidated Revenue and Federation Account.
NAN reports that a faction of the Rivers assembly and Mr Martin Amaewhule (the speaker), as the 1st and 2nd plaintiffs, had sued the Central Bank of Nigeria (CBN) and nine others in the suit marked FHC/ABJ/CS/984/24.
The plaintiffs, through their lead counsel, Joseph Daudu, SAN, filed the suit dated 14 July but filed on 15 July.
They listed the CBN, Zenith Bank Plc, Access Bank Plc and the Accountant-General of the Federation (AGF) as the 1st to 4th defendants.
They also joined Gov. Fubara, the Accountant-General of Rivers, Rivers Independent Electoral Commission (RSIEC), Chief Judge of Rivers, Justice S.C. Amadi; the Chairperson of the RSIEC, Adolphus Enebeli, and the Government of Rivers State as the 5th to 10th defendants respectively.
The plaintiffs had sought an order of interlocutory injunction restraining the CBN, the commercial banks, including the AGF from honouring any financial instruction issued by Mr Fubara regarding the state’s funds.
However, the faction of Rivers House of Assembly led by Oko Jumbo challenged the suit and filed a notice of change of counsel on 6 August
The Oko Jumbo-led assembly, loyal to Gov. Fubara, had told the court that Mr Amaewhule was not the lawful speaker of the assembly, since his seat had been declared vacant on 13 December 2023 following his defection from the Peoples Democratic Party to All Progressives Congress.
The faction of the assembly, therefore, told the court that Amaewhule was not authorised to file the instant suit, hence, it had decided to change its counsel.
Justice Abdulmalik, on Friday, dismissed the application for change of counsel after it was moved by Mr Sammie
Somiari, SAN, including other objections raised by the defendants.
Delivering the judgment, Justice Abdulmalik held that the CBN was under obligation to ensure that the right thing was done before money from Consolidated Revenue and Federation Account was released to the beneficiaries.
The judge said that the action of the 4-member House of Assembly being held on to by governor Fubara as yardstick to justify unlawful budget had since been nullified and set aside by the Federal High Court and the Court of Appeal both in Abuja.
She held that the judgment of Rivers High Court which gave power to the governor to implement the 2024 Budget had also been set aside by the Court of Appeal.
“Appropriation Bill for January to December 2024, being operated by the 5th defendant (Fubara), having not been charged by the lawful House of Assembly is illegal unlawful and subversion of the 1999 Constitution.
” It is mandatory to present the appropriation bills before the appropriate House of Assembly before legitimate disbursement and withdrawal can be made.
‘In the instant case, the 5th defendant (Fubara) has not presented any budgetary appropriation known to law to any legitimate House of Assembly.
“Sections 120 122 and 197 of the Federal Republic of Nigeria have not been complied with.
“It is unwarranted assault to the Constitutional Order for anybody, including the 5th defendant to be allowed or permitted to continue to breach and violate Sections 91 and 96 of the Constitution to implement budget that was not approved by the legislative arm.
” Every individual must subject to the rule of law. Using illegally constituted House of Assembly to disburse public fund must not be allowed,” she declared.
Justice Abdulmalik subsequently issued an order of injunction which restrained CBN, Zenith Bank, Access Bank and the AGF from permitting the withdrawal or use of the funds from the Consolidated Revenue Account and the Federation Account by Rivers Government until the budget of the state is passed by the appropriate house of assembly.
She also issued another order of injunction which restrained Fubara, Accountant General of the state and their agents from authorising the withdrawal of money from the Rivers bank accounts domiciled at Zenith Bank and Access Bank until the budget of the state is passed by the appropriate assembly.
The judge held that the house of assembly under Amaewhule remained the legitimate house of assembly in view of the Federal High Court judgment which nullified and set aside the house of assembly led by Oko Jumbo and was upheld by the Court of Appeal in Abuja.(NAN)
