The Nigerian Bar Association has faulted the Economic and Financial Crimes Commission over its restriction of withdrawals from the Osun State Government’s statutory allocation account.
NBA President, Afam Osigwe (SAN), said the EFCC could not impose a blanket restriction on a state government’s account without due legal process, warning that such an action could cripple government operations.
The EFCC had directed First Bank to place a post-no-debit restriction on the account as part of an investigation into the alleged mismanagement of about ₦11 billion in Ecology Funds, Intervention Funds and Federal Account Allocation Committee allocations.
The commission said the action followed suspicious transfers of funds to different corporate entities from August 2, 2026, adding that the investigation had been ongoing since March.
However, Osigwe maintained that where specific accounts are suspected of being linked to fraud, the EFCC should obtain a court order before restricting them.
Other Senior Advocates of Nigeria, including Adeyinka Olumide-Fusika and Isiaka Olagunju, also questioned the legality of the restriction and its implications for governance.
Wolemi Esan, however, said the EFCC could impose a temporary stop order for up to 72 hours without a court order under the Money Laundering Act, but would require judicial authorisation for any restriction beyond that period.
The controversy has intensified ahead of the August 15 Osun governorship election, with opposition parties accusing the Federal Government of using the EFCC to gain political advantage.
The ruling All Progressives Congress, however, defended the EFCC, saying the commission must have reasons for its action and should be allowed to carry out its duties within the law.
Meanwhile, Osun State Attorney-General, Oluwole Jimi-Bada, said the state government would challenge the EFCC’s action at the Federal High Court, insisting that the commission could investigate the accounts but could not freeze them without a court order.
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