The Social Democratic Party (SDP) and the All Progressives Congress (APC) in Ondo State have disagreed on allegations of non-release and diversion of funds meant for local governments in the state.
While the SDP alleged that the state government was diverting the funds, the APC said the allegation was false and lacking in credibility.
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SDP Chairman, Gbenga Akinbuli, who triggered the controversy on Saturday, said his party had “credible information” that the state government was collecting federal allocations meant for local governments.
“This revelation raises serious concerns about fiscal federalism, local government autonomy, and the principles of democracy,” Mr Akinbuli said in a statement.
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“It is unconscionable that funds intended for grassroots development and service delivery are being siphoned off, depriving local communities of essential services and infrastructure.”
According to him, local governments are being denied the resources to deliver on their constitutional responsibilities, from healthcare and education to infrastructure and security.
He said the state government’s action undermines local governments’ effectiveness, erodes trust in the system, and perpetuates underdevelopment.
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“We condemn this practice in the strongest possible terms and demand that the state government cease this unlawful collection of local government funds.
“It is imperative that the state government prioritises transparency and accountability in the management of local government funds and ensures that allocations are released to their rightful recipients,” he said.
The SDP Chairman further urged the state government to respect the principles of fiscal federalism and local autonomy, and to recognise the constitutional rights of local governments to receive and manage their funds.
“Anything less would be a betrayal of the public trust and a dereliction of duty,” he added.
Allegation misleading
However, the APC has rejected and denied the allegations that the funds meant for the councils were diverted.
“These claims are nothing short of a blatant lie from the pit of hell, aimed at misleading the public and creating unnecessary tension in our polity,” the APC said in a statement signed by its Director of Publicity, Steve Otaloro.
The APC said Mr Akinbuli is concerned with creating sensational headlines to distract from the internal issues plaguing the SDP, including its national leadership struggles and corruption.
While describing the SDP allegations as misguided, the APC noted that the opposition party does not know LG administration.
“We urge the SDP, led by Barr. Gbenga Akinbuli, exercise caution in their statements and conduct proper investigations before issuing such unfounded press releases,” said the APC.
“The truth is that local government funds are released strictly upon allocation from the federation accounts, and at no point has the state government under Governor Lucky Aiyedatiwa interfered with or misappropriated these funds.”
The APC urged the SDP to focus on its internal challenges rather than spreading falsehoods that could destabilise Ondo State.
“The APC remains committed to fostering a transparent and accountable governance structure that prioritises the needs of the people,” he added.
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Reacting to the allegation, the Chief Press Secretary to the governor, Ebenezer Adeniyan, said the SDP has no evidence to back its claims of fund diversions.
“We don’t normally respond to this kind of stuff because these people just want to be in the news to be noticed,” he said.
“Well, no LG worker is being owed salary. No primary school teacher is needed. No LG chairperson has complained of not having funds to run their LG.
“If they have any evidence, let them bring it forward.”
Supreme Court judgment on LG autonomy
In July 2024, the Supreme Court delivered a unanimous judgement affirming the financial autonomy for the nation’s 774 local governments.
The matter was brought by the federal government to strengthen the independence of the local governments in the country.
The court held that councils should henceforth receive their allocations directly from the Accountant General of the Federation.
It said it is illegal and unconstitutional for state governors to receive and withhold funds allocated to the LGs.
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