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Oyo State Government’s Accounts Frozen Over N3.5 Billion Debt

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A Federal Capital Territory (FCT) High Court in Abuja has issued an order to freeze the accounts of the Oyo State Government in 10 commercial banks nationwide. This legal action stems from a garnishee proceeding initiated by former council chairmen in Oyo State who were dismissed on May 29, 2019, by Governor Seyi Makinde.

The sacked council chairmen and councillors secured a judgment of N4,874,889,425.60 against Makinde and other state officials/agencies in 2021. The judgment debtors, as identified by the Supreme Court’s decision on May 7, 2021, include the Attorney-General, Commissioner for Local Government and Chieftaincy Affairs, Accountant-General of Oyo State, Speaker of the House of Assembly, the House of Assembly, and the Oyo State Independent Electoral Commission (OYSIEC).

The garnishee proceeding, led by Bashorun Majeed Ajuwon, aims to recover the outstanding balance of N3.5 billion from the original judgment sum, as Makinde had only paid N1.5 billion in 2022.

Justice A. O. Ebong issued the ruling on December 15, 2023, ordering the banks to file affidavits and attend the court on the next adjourned date to show cause why the garnishee orders should not be made absolute. The judge imposed a cost of N300,000.00 against the judgment debtors and scheduled the next hearing for January 5, 2024. This development poses financial implications for the Oyo State Government and reflects ongoing legal battles stemming from the dismissal of local council officials.

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