Lead:
Osogbo – In a growing constitutional and fiscal showdown, Governor Ademola Adeleke of Osun State has accused the federal government led by President Bola Ahmed Tinubu of withholding statutory allocations due to Osun’s local government councils — a move he says is “without legal basis” and politically motivated.
Background:
The controversy centres on funds due to the 30 local government councils in Osun State. Under the Constitution, states receive allocations from the Federation Account, which include sums destined for local governments (LGAs).
In February 2025, the Osun State Government held local government elections, with the result that new chairmen and councillors (under Governor Adeleke’s party, the Peoples Democratic Party (PDP)) were elected.
The federal government, via its agencies (including the Central Bank of Nigeria (CBN) and the Accountant-General), is reported to have withheld the local government allocations to Osun, citing legal uncertainty arising from prior court judgments.
Governor Adeleke’s Position:
Governor Adeleke insists there is no legal or constitutional basis for the withholding of the LG funds. He stated that the February 22, 2025 election of council chairmen and councillors in Osun was valid and lawful, and that the rightful people now occupy the offices.
On August 20, 2025, his government issued a statement commending the Nigerian Bar Association (NBA) and the Osun State Council of Obas for backing the demand that the allocations be released. The NBA had declared that there was “no legal basis for the continuous withholding of Osun local government allocations”.
Adeleke called on President Tinubu and the federal government to release the funds without delay so that the local councils can resume full governance and service-delivery at the grassroots.
He further argued that the withholding is affecting key infrastructural projects and grassroots service delivery in Osun State. In an October 30, 2025 address, he referred to “almost N100 billion of Osun fund … unjustly seized in a bid to stop the completion” of major infrastructure.
Federal/Other Side & Political Context:
The federal government has not publicly admitted to a policy of targeted withholding for political reasons, but the Osun state government and its backers claim the action is politically motivated. Adeleke’s administration suggests the reason the funds are blocked is because the state government is run by the opposition PDP, rather than the federal ruling party (APC).
The state’s main opposition party in Osun, the All Progressives Congress (APC), counters that the blame lies with Governor Adeleke and his administration — accusing him of colluding with the state chapter of the National Union of Local Government Employees (NULGE) to paralyze local council operations, rather than any action by the federal government.
The legal context is complex: prior court judgments had nullified earlier local government elections in Osun, and there is dispute as to which councils are legitimately recognized. The February 10, 2025 Court of Appeal judgement reinstated APC-affiliated council executives, according to APC claims. The Osun government, however, points to subsequent legal developments and the NBA’s findings in support of its own position.
Impact on People & Governance:
According to the Osun state government, withholding the allocations has hampered local governments — affecting salaries of council workers, payment of traditional rulers’ allowances, maintenance of roads, primary healthcare centres, other service delivery at the grassroots.
The NBA described the continued withholding as “a violation of the Constitution, a disregard for the rule of law and an affront on clear pronouncements of the courts.”
Governor Adeleke has pledged that his administration will continue with infrastructure projects regardless of the funding impasse, but warned that the disruption is costing time and resources.
Governor Adeleke’s Accusation of Political Motive:
While not explicitly naming all actors, Adeleke and his government assert that the federal government’s delay and refusal to release the funds are politically motivated — linked to the fact that Osun State is governed by the opposition PDP rather than the ruling APC.
He describes the withholding as using fiscal powers to punish a state for political reasons, rather than on any legitimate constitutional or legal basis. This accusation is supported by the Osun caucus in the House of Representatives, which called the action “politically-motivated” and a breach of federalism.
In his August 2025 statement, Adeleke said: “There is therefore no legal or constitutional basis for the withholding of Osun LG allocations. I again call on the Federal Government to release the funds.”
What Happens Next:
The standoff remains unresolved. Osun State Government may pursue legal action via the courts and public pressure via civil society organisations, while the federal government may await clear legal certitude on which council executives are lawful before releasing funds.
In any case, the impasse raises broader questions: about local government financial autonomy, the role of the federal government and CBN in disbursements, and whether political colour of a state influences federal fiscal decisions.
For the people of Osun State, the immediate concern is restoration of proper grassroots governance, payment of local workers, completion of infrastructure, and access to services at the local level.
Conclusion:
The confrontation between Governor Adeleke and the federal government under President Tinubu over the non-release of local government funds in Osun State has escalated into a constitutional, legal and political crisis. With strong statements from Adeleke that the action is “without basis” and “politically motivated”, and counter-claims from the APC in Osun that the governor’s own conduct is to blame, the situation remains tense. What is clear: local governments in the state are in a bind, and until the allocations are released, service delivery faces serious obstacles.
For viewers of Clarion Newschannel TV, we will continue to follow the developments: the court motions, the federal government’s response, the work of civil society bodies such as the NBA, and the impact on grass-roots governance in Osun State.
Governor Adeleke Accuses Tinubu Government of Withholding Osun LG Funds for Political Reasons
