A crisis may have begun in Anambra State over a bill introduced to the House of Assembly by the state government to control a portion of the federation allocation meant for local governments.
About eight members of the Anambra State House of Assembly, mostly from the Labour Party (LP) have dissociated themselves from the local government administration bill sponsored by Governor Charles Soludo, saying it runs foul of the Supreme Court judgement.
The bill was reportedly passed on Tuesday, October 8, 2024, by some members of the state Assembly.
The bill in its section 13(1) mandates the establishment of a “State Joint Local Government Account” into which all federal allocations to LGAs must be deposited.
It also required each LGA to remit a state-determined percentage of their allocations to the consolidated account within two working days of receipt, even if those allocations are sent directly from the Federation Account.
Section 14(4) empowers the state to deduct the designated percentage before transferring the remaining funds to the LGA in the event of the state receiving such funds on its behalf.
A member of the LP caucus led by Jude Umennajiego, representing Onitsha South 2, disclosed this while addressing journalists at the Anambra State House Assembly premises shortly after the day’s sitting.
The caucus, while absolving themselves from the new ‘law’, pointed out that it conflicted with the recent judgement of the Supreme Court on Council administration, autonomy, and management of their funds.
Umennajiego stated that the Supreme Court made unambiguous far-reaching decisions in its July 11, 2024 judgement in suit No. SC/CV/343/2024, Attorney General of the Federation Vs Attorney General of Abia State and Ors on the funds and autonomy of local government as third tier government of the Federation.
He said, “The judgement among other declarations barred the State Government, its agents, privies, officials and those acting for or on their instruction from interfacing, managing, collecting, receiving, spending or tampering with Local Government Council funds from Federation Account.
“The Supreme Court further ordered that the money due to Local Governments be paid directly to them.”
The lawmaker said they disagreed with Sec 13, 14, and 16 of the Anambra State Local Government Administration bill which sought to compel the Local government areas to pay their Federal allocation into an account to be established by the State Government before sharing or managing the same.
Umennajiego pointed out that with the Supreme Court verdict, no State House of Assembly can make any further laws seeking to compel the councils to pay in their Federal Allocation to the State Government under whatever guise.
“We equivocally stand with the overwhelming majority of the Anambra people in upholding the Constitution and the Supreme Court decision,” he said.
The caucus members included Umennajiego (Onitsha South 2);
Patrick Okafor (Onitsha North 2); Paul Oby (Orumba North); and Nkechi Ogbuefi (Anaocha 1).
Others include Fredrick Ezenwa (Onitsha North 2); Kingsley Udemezue (Idemili North); Justice Azuka (Onitsha North 1) and Henry Mbachu (Awka South1).
However, Governor Soludo argued that the bill does not breach the Supreme Court’s ruling regarding local government autonomy, challenging anyone who disagrees to seek legal recourse.
Speaking through his Commissioner of Information, Dr Law Mefor, the governor added that the House of Assembly had acted legally.
“Is it the Supreme Court that should confer power or the Constitution? Does the Supreme Court make laws?” Mefor questioned, arguing that the court’s judgment only serves as an interpretation of the constitution, which does not supersede it.
He pointed out that Section 7 of the 1999 Constitution empowers State Houses of Assembly to enact laws governing the administration and financial regulations of LGAs, adding that the bill aligns with the Assembly’s constitutional mandate.
“The Supreme Court’s judgment does not, in any way, modify the constitution. No one is saying that local governments will not maintain autonomy,” Mefor said.
