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The Osun State Government has initiated legal proceedings against the Economic and Financial Crimes Commission, EFCC, over the freezing of its bank accounts.

The state government described the anti-graft agency’s action as unlawful, warning that it could cripple government activities.

The Attorney General and Commissioner for Justice, Oluwole Jimi-Bada, disclosed on Wednesday that Governor Ademola Adeleke had instructed him to file a suit before the Federal High Court to contest the EFCC’s action.

Jimi-Bada revealed that “the state government received information that the EFCC had issued a “Post No Debit” directive to First Bank, where several government accounts are maintained, effectively restricting transactions on the accounts”.

He insisted that “although the EFCC possesses the authority to investigate financial transactions, it does not have the power to freeze a state government’s accounts without first obtaining a court order”.

“I have the mandate of the governor to proceed to the Federal High Court to challenge this move. EFCC can investigate the accounts but it can’t freeze the accounts without order of court,” he stressed.

According to the Attorney General, the restriction placed on the accounts could seriously disrupt the daily operations of government and hinder the delivery of essential public services across the state.

“This step will affect government running but we will challenge the move and ensure that the agency acts within the ambit of the law.”

Reacting separately, the Commissioner for Finance, Sola Ogungbile, alleged that police officers visited the main branch of First Bank in Osogbo and arrested some members of the bank’s staff during the incident.

Ogungbile also dismissed allegations that state funds were being used to finance Governor Adeleke’s re-election campaign, insisting that public resources were not being diverted for political purposes.

He appealed to the EFCC to consider the wider consequences of the account restriction on governance and the welfare of residents who rely on government services.

Before the reported freezing of the accounts, Governor Adeleke had expressed concern over what he described as plans by the EFCC to freeze all Osun State Government accounts, including those belonging to top government officials.

In an earlier statement issued by the Commissioner for Information and Public Enlightenment, Kolapo Alimi, the governor described the reported action as lacking legal backing and alleged that it was designed to disrupt government operations ahead of the August 15 governorship election.

He said, “The plot to freeze the state government accounts is meant to paralyse government activities ahead of the August 15 governorship election.”

The governor further maintained that the EFCC lacked the legal authority to freeze the accounts of a state government without first obtaining the appropriate court approval.

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