An Oyo State High Court on Friday ordered United Bank for Africa not to release funds from 30 accounts opened in the names of Osun State’s local governments by court-sacked APC chairmen and councillors.
The interim injunction, in suit number 1/1149/25, was sought by the Attorney-General and Osun State Commissioner for Justice, Oluwole Jimi-Bada, after the Federal Government transferred seized statutory allocations for each of the 30 councils into the disputed accounts on Friday.
The case, heard ex parte by Justice A.L. Akintola of Court 5, had Jimi-Bada as the claimant/plaintiff and UBA as the sole defendant/respondent.
The order has been served on the bank, according to a statement made available to PUNCH Online on Monday.
The plaintiff sought orders restraining UBA from releasing any statutory local-government funds deposited into the accounts listed under Osun State in the First Schedule, Part I of the 1999 Constitution, pending the determination of the interlocutory motion.
The request was for:
“An order of interim injunction restraining the Defendant/Respondent from paying and/or causing to be paid all or any of those funds which constitute the statutory local government funds of all the 30 local governments in Osun State as listed under Osun State in the 1st Schedule, Part 1 of the 1999 Constitution of the Federal Republic of Nigeria pending the hearing and determination of the motion on notice for an order of interlocutory injunction filed in this case.
“An order of interim injunction of this Honourable Court mandating the Defendant/Respondent not to release all the said funds mentioned in relief one above and/or any part of it to any person, however he may be, be it artificial or natural, pending the hearing and determination of the motion on notice for an order of interlocutory injunction filed in this case.
“And for such further orders as this Honourable Court may deem fit to make in the circumstances.”
In granting relief, Justice Akintola said the claimants had made a compelling case for urgent intervention and that any delay could inflict “irreversible harm” on the state.
He said, “Upon reading the motion ex parte and affidavit in support deposed to by Olufemi Akande Ogundun, male, Christian, Nigerian citizen of Osun State Secretariat, Abere, Osogbo, and after hearing A.A. Abass Esq, counsel for the claimants/applicants, who moved the motion ex parte dated September 26, 2025, and filed on the same date for an order of interim injunction in terms, the court then adjudged and ordered as follows:
“Having carefully considered the motion ex parte together with the supporting affidavit and the exhibits attached, as well as the written address of counsel and the affidavit of urgency filed along with the motion, this court is satisfied that the claimants/applicants have successfully made out a case for the urgent intervention of the court at this stage as any delay may cause irreversible harm, injury or helplessness. In any event, the defendant/respondent will have the opportunity to challenge the order once they join issues with the claimants on the motion on notice for an interlocutory injunction. Accordingly, the interim injunction sought is hereby granted as prayed on the claimants/applicants.
“Hearing of the motion on notice for the interlocutory injunction is adjourned till October 3, 2025.”
In a covering letter conveying the court ruling dated 26 September 2025, lead counsel to the state government, Mr Musibau Adetunbi, SAN, informed the bank of its duty to comply with the court order. The letter was addressed to UBA’s head office in Lagos and its branch in Osogbo, the state capital.
The letter stated, “Kindly find attached a copy of the interim order granted against your bank in the above-named suit. All relevant processes have been duly served on your bank, and your Legal Department has been notified. However, out of abundance of caution, we consider you one of the authorities of the bank we should notify.
“The essence of this letter is just to remind you of your duty to comply with this order, so long as it subsists, which was made pending the hearing of the motion on notice.
“Kindly note that the order covers any statutory payment made to your bank for the benefit of the 30 local governments in Osun State,” the letter read.
The letter listed the 30 contentious bank accounts, adding that the order covers all other accounts not expressly listed in the court process.
PUNCH Online reports that allocations due to local government areas in Osun have been withheld since February following a dispute between the Osun State Government, backed by the Peoples Democratic Party, and the APC over control of council areas.
The APC leadership claims that chairmen and councillors elected in the October 15, 2022, election, held at the end of Adegboyega Oyetola’s administration but sacked by an Osogbo Federal High Court, were restored by the Court of Appeal in Akure on 10 February 2025.
But the PDP insists that chairmen and councillors produced by the February 22, 2025, local government polls are the legitimate political heads of council areas.
Meanwhile, the Osun chapter of the National Union of Local Government Employees alleged that the Federal Government has disbursed six months’ allocations due to the LGAs into the controversial accounts.
NULGE chairman Dr Nathaniel Ogungbangbe said the release of the allocation into accounts opened by APC-elected chairmen was an abuse of power.
He also stated that the Minister of Finance, Mr Wale Edun, the Accountant-General of the Federation, Babatunde Ogunjimi, and the Attorney-General and Minister of Justice, Mr Lateef Fagbemi, abused their offices by facilitating the release while court cases were pending.
