Osun Drags EFCC To Court Over Frozen Account

The Osun State Government has commenced legal action against the Economic and Financial Crimes Commission (EFCC) over the freezing of one of its statutory allocation accounts, barely 10 days to the state governorship election.

The state Attorney-General and Commissioner for Justice, Oluwole Jimi-Bada, said on Wednesday that Governor Ademola Adeleke had directed him to approach the Federal High Court to challenge the EFCC’s directive to First Bank Plc to place a Post-No-Debit restriction on the account.

Jimi-Bada described the action as unlawful, arguing that although the anti-graft agency had the power to investigate financial transactions, it could not freeze the account of a state government without obtaining an order from a competent court.

He said the restriction could affect the day-to-day administration of the state, but assured that the government would challenge the directive through the courts.

“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 an order of court.

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

The development followed a directive by the EFCC to First Bank to place a Post-No-Debit restriction on the Osun State Government Statutory Allocation Account.

An EFCC letter dated August 5, 2026, and addressed to the Managing Director of First Bank in Abuja, directed the bank to restrict the account as part of an ongoing investigation.

The account was identified in the letter as the “Osun State Government Statutory Allocation Acct.”

The commission referenced an earlier letter dated April 15, 2026, and said the latest directive was issued pursuant to Sections 38(1) and (2) of the EFCC (Establishment) Act, 2004, and Section 24 of the Money Laundering (Prevention and Prohibition) Act, 2022.

The letter was signed by Adenike S. Babalola on behalf of the Director of Investigation.

The state government’s decision to sue the EFCC came hours after Adeleke alleged that the anti-graft agency was planning to freeze the accounts of the state government and some senior officials ahead of the August 15 governorship election.

In a statement issued by the Commissioner for Information and Public Enlightenment, Oluomo Kolapo Alimi, the governor described the alleged plan as an attempt to cripple the administration and prevent it from performing its constitutional responsibilities.

Adeleke also questioned the legal authority of the EFCC to freeze the accounts of a state government without a court order.

The governor’s allegation came amid heightened political activities ahead of the governorship election, in which his administration is seeking another term.

The state Commissioner for Finance, Sola Ogungbile, also alleged that police operatives stormed the main branch of First Bank in Osogbo and arrested some members of the bank’s staff.

He, however, did not provide further details on the alleged arrests.

The state government also rejected allegations that Adeleke was using government funds to finance his re-election campaign.

Jimi-Bada maintained that the administration was not deploying public resources for political purposes.

The EFCC’s action has meanwhile added a fresh dimension to the political contest in Osun, with the state government insisting that the restriction on its account could disrupt the payment of obligations and the delivery of essential government services.

The Federal Government and the ruling All Progressives Congress (APC) have previously faced allegations from opposition figures and critics of using federal institutions to influence the outcome of the Osun governorship election.

The allegations have been denied by the Federal Government.