The Osun State House of Assembly has accused former Governor Gboyega Oyetola, now Minister of Marine and Blue Economy, of unlawfully directing local government funds and interfering in council administration, calling his actions a threat to democracy, the rule of law, and grassroots governance.
The allegations were made on Sunday during a press briefing by Speaker Adewale Egbedun and shared on his official Facebook page.

Mr Egbedun expressed concern that officials whose elections had been nullified by courts, and whose tenure ended on 22 October 2025, were still occupying council secretariats and handling public resources. He stressed that their continued presence, all affiliated with the All Progressives Congress (APC), was illegal and lacked constitutional or judicial backing.
“These individuals have no legal mandate. They are not recognised by law, the courts, or the Constitution. Their continued occupation of Local Government Secretariats is illegal and must not continue unchecked,” the speaker said.
The Assembly claimed, without providing evidence, that Oyetola had issued instructions on the disbursement of local government allocations, despite lacking constitutional or statutory authority. “Being related to the President of Nigeria does not grant one the power to interfere in local government affairs,” Egbedun emphasized, adding that Nigeria is governed by law, not personal connections.

The House alleged that large sums were released under Oyetola’s directives, including N25 million to each of the 30 APC chairmen, N12 million to each vice chairman, and N10 million to each of the 332 councillors. It also claimed N130 million went to selected traditional rulers and N13 billion to a private law firm representing APC officials, describing the payments as an illegal diversion of public funds.
“Local government funds were allegedly used to pay private lawyers who were not engaged by the councils. We demand a refund of every kobo,” Egbedun said, specifically questioning the role of United Bank for Africa (UBA) Plc in the transactions. The Assembly warned that banks facilitating such disbursements could face criminal prosecution.
The speaker further claimed that despite these payments, local government workers—including teachers, nurses, health staff, civil servants, retirees, and traditional rulers not favoured by APC officials—had gone unpaid for the past 12 months. Reports also suggested that an additional N50 billion could be earmarked for political projects.

The Assembly reminded banks that only career officers appointed by the Local Government Service Commission are authorised to access council accounts. Egbedun put international partners and financial regulators on notice, warning of reputational and legal consequences if they remained involved.
Governor Ademola Adeleke was commended for ensuring the payment of salaries to local government workers over the past year, despite the withholding of council allocations. Egbedun said the law must be respected: “No individual, bank, or political interest is above the law. Osun State belongs to its people, and their welfare cannot be sacrificed for politics.”

Oyetola denied the allegations. His media aide, Bolaji Akinola, called the claims “reckless propaganda,” stating that the minister has never issued directives to banks or interfered in local government administration, and emphasized that councils enjoy full financial autonomy guaranteed by the Constitution and affirmed by the Supreme Court.
The dispute over Osun local government funding stems from contested leadership and court rulings. In late 2022, the Federal High Court nullified APC local government elections, a decision upheld by the Court of Appeal. Fresh elections in February 2025 produced PDP-aligned leadership, but some former APC officials continued to occupy council secretariats, creating parallel authority claims.
Amid ongoing litigation, the federal government withheld statutory allocations due to Osun’s 30 councils, amounting to an estimated N130 billion. The funds are intended for essential services, including salaries for teachers, health workers, and council staff. Governor Adeleke condemned the withholding of allocations as unlawful and harmful to citizens.

On 5 December 2025, the Supreme Court criticized the federal government’s seizure of funds but did not order their release, citing a legal technicality. While the APC insists that court rulings reinstated their former council leaders, the governor maintains that the continued occupation of secretariats by ousted officials undermines democracy at the grassroots and hampers service delivery.


