The Nigerian Bar Association (NBA) has criticised the Economic and Financial Crimes Commission (EFCC) over its directive freezing the Osun State Government’s bank account, describing the action as unconstitutional and beyond the agency’s legal powers.
The EFCC had instructed First Bank to place a post-no-debit (PND) restriction on the state’s statutory allocation account as part of an investigation into the alleged mismanagement of ₦11 billion in ecological and intervention funds.
The directive, dated August 5, 2026, was signed by Assistant Commander of the EFCC, Adenike Babalola, on behalf of the Director of Investigation.
The move has attracted widespread criticism, with concerns that restricting the account could disrupt government operations and affect the delivery of essential public services.
Governor Ademola Adeleke condemned the action, accusing the commission of attempting to undermine the constitutional rights of the state government.
He alleged that the account freeze was part of a series of politically motivated actions against his administration, including the harassment of members of the Accord Party and efforts to frustrate local government activities in the state.
The EFCC, however, defended its decision, saying the restriction was necessary to prevent the alleged diversion of public funds.
According to the commission, investigations into the suspected fraud began in March. It claimed that while the probe was ongoing, investigators noticed several large transfers from the state’s account into corporate accounts starting from August 2.
Reacting to the development, the outgoing President of the Nigerian Bar Association, Afam Osigwe, said the EFCC has no legal authority to freeze the bank account of a state government without first obtaining a court order.
He acknowledged that the commission has the power to investigate financial crimes but insisted that freezing an account must follow due legal process.
Osigwe warned that imposing a blanket restriction on a state’s account could cripple government activities and amount to an abuse of power.
“No government agency or individual has the power to unilaterally restrict withdrawals from the account of any state because such an action effectively grounds the operations of government,” he said.
He added that while the EFCC could seek a court order if it believed an account was being used for fraudulent activities, it could not lawfully freeze an entire state government account on its own.
According to him, such a directive would be unconstitutional and exceed the powers granted to the commission.
Osigwe also urged First Bank not to comply with the EFCC’s directive unless it was backed by a valid court order, maintaining that any restriction on a government account must follow due process.
