₦airaland Forum

Apex bank demands two years audited accounts of LGs

Local Governments across the country are facing a fresh hurdle in their bid to receive their monthly allocations directly from the Federation Accounts.

Each of the 774 local governments is now required to furnish the Central Bank of Nigeria (CBN) with a comprehensive audit of its finances for two years as a prerequisite for direct remittance of their allocations, it was learnt yesterday.

The direct revenue disbursement was originally scheduled to commence last month but had to be deferred at the last minute because many of the councils failed to submit the necessary details required to facilitate the direct payments.

Their share of N361.754 billion from the distributable revenue of N1.424 trillion for the month was subsequently channeled to them through the states.
The apex bank is already in the process of opening accounts for the LGs to enable them receive their allocations directly from Abuja under the financial autonomy sought for them from the Supreme Court by the federal government.

The next allocation is due in a few weeks and there were doubts yesterday about the ability of the LGs to submit the two-year audit reports demanded by the CBN before the February meeting of the Federation Account Allocation Committee (FAAC) in Abuja where the allocations are made.

Sources at the CBN told The Nation that the bank could not open accounts for the LGAs without a thorough understanding of their current financial status.

“We cannot just open fresh accounts for the LGAs when many of them have not operated as an independent government entity,” one of the sources said.

The official said the audit report was important.

An Inter-Ministerial Committee headed by the Secretary to the Government of the Federation (SGF) is developing a framework to enforce the Supreme Court judgment on local government autonomy.

A member of the Committee revealed that a template is being developed to authorise the Accountant General of the Federation (AGF) to directly deduct funds designated for specific areas like primary education, healthcare, and other constitutional responsibilities of LGAs from their FAAC allocations and transfer them to the relevant agencies.

https://thenationonlineng.net/fresh-hurdle-for-local-govts-over-central-bank-accounts/

Ok

The direct revenue disbursement was originally scheduled to commence last month but had to be deferred at the last minute because many of the councils failed to submit the necessary details required to facilitate the direct payments.

Let the LG also do the right thing. It's not a Greek gifts, they should present the necessary documents

Well! Well!! Well!!!

It seems I've been right all along about this LG autonomy scam. The blurry lines are getting clearer now.

Instead of LG autonomy as being propagated in the media, what these folks are doing is actually LG capture

If the LGs supposedly have autonomy over their funds, why is the FG asking them to fulfil certain conditions before they can access the funds that purportedly belongs to them?

And they will even have deductions from their funds by the FG?!! What was the complaint about the states before?

If LGs are the third tier of government according to the Supreme Court, why are they being given directions to open account with the Central Bank, a federal agency before they can access their own statutory funds?

To add insult to injury, each LG is being asked to submit report of audited accounts for two years!! I thought the reason for the supreme Court judgement was because the LGs were not being properly funded.

So what accounts are you auditing all of a sudden? What is the business of the FG or CBN with how the LGs have been spending their funds?

It's thus obvious that the APC led FG is not interested in LG autonomy at all.

It was just a propaganda move to whip some govs into line and also have more bite over grassroots political setups. It is a move that further enhance unitarianism instead of federalism and it is bound to fail in the long run if this trend continues.

Ordinarily, what goes on between the states and the LGs is not the business of the FG.

FG is not a mediator or big brother over the two. FG should face its core responsibilities which it has been failing at which are strong virile economy, security and foreign affairs.

Ojuntana:
Well! Well!! Well!!!

It seems I've been right all along about this LG autonomy scam. The blurry lines are getting clearer now.

Instead of LG autonomy as being propagated in the media, what these folks are doing is actually LG capture

You posted this thread, didn't you bother to read it all before commenting?

helinues:
Let the LG also do the right thing. It's not a Greek gift, they should present the necessary documents

Do you even know what Greek gift means

You need to pay more attention to your studies

Ojuntana:
Do you even know what Greek gift means

You need to pay more attention to your studies

It's not a Greek gifts

Mr, stay with the topic of discussion without being petty. You did not comprehend the same thread you created.

Why

helinues:
Mr, stay with the topic of discussion without being petty. You did not comprehend the same thread you created.

Why

You copied yourself along with your grammatical blunder

Shame!!

Ojuntana:
You copied yourself along with your grammatical blunder

Shame!!

Why are you focusing about me while ignoring the thread which you created.

You didn't read and comprehend the thread. Just stop shifting goal post

The CBN request is illegal.
Constitutional rights doesn't need extra permissions.
States are not asked for audit reports before getting allocations, so
it makes no sense to ask LGs for audit reports.

The LG is not a person but an institution.
The CBN is trying to pre-empt financial crime as a requirement for complying
with local government autonomy.

Even EFCC has no such power.
This only shows that the neither the FG nor the states believe in LG autonomy,
it is all political talks.

Xisnin:
The CBN request is illegal.
Constitutional rights doesn't need extra permissions.
States are not asked for audit reports before getting allocations, so
it makes no sense to ask LGs for audit reports.

The LG is not a person but an institution.
The CBN is trying to pre-empt financial crime as a requirement for complying
with local government autonomy.

Even EFCC has no such power.
This only shows that the neither the FG nor the states believe in LG autonomy,
it is all political talks.

Do they have this same autonomy before?

So if those who created it for them gave conditions for receiving payments, why can't the LG's abide to that?

helinues:
Do they have this same autonomy before?

So if those who created it for them gave conditions for receiving payments, why can't the LG's abide to that?

Supreme court pronouncement make it a constitutional right for LG.
The FG is not doing the LG a favor!
That is the position of the law. So smuggling an extra condition into
it is nothing but bad faith on the part of the CBN.
They are emboldening the governors by suggesting that the LG can't be trusted to
administer their own funds.
Then, where is the autonomy?

Dem no wan pay

Federal control. So much for "autonomy"

Ojuntana:
Well! Well!! Well!!!

It seems I've been right all along about this LG autonomy scam. The blurry lines are getting clearer now.

Instead of LG autonomy as being propagated in the media, what these folks are doing is actually LG capture

If the LGs supposedly have autonomy over their funds, why is the FG asking them to fulfil certain conditions before they can access the funds that purportedly belongs to them?

And they will even have deductions from their funds by the FG?!! What was the complaint about the states before?

If LGs are the third tier of government according to the Supreme Court, why are they being given directions to open account with the Central Bank, a federal agency before they can access their own statutory funds?

To add insult to injury, each LG is being asked to submit report of audited accounts for two years!! I thought the reason for the supreme Court judgement was because the LGs were not being properly funded.

So what accounts are you auditing all of a sudden? What is the business of the FG or CBN with how the LGs have been spending their funds?

It's thus obvious that the APC led FG is not interested in LG autonomy at all.

It was just a propaganda move to whip some govs into line and also have more bite over grassroots political setups. It is a move that further enhance unitarianism instead of federalism and it is bound to fail in the long run if this trend continues.

Ordinarily, what goes on between the states and the LGs is not the business of the FG.

FG is not a mediator or big brother over the two. FG should face its core responsibilities which it has been failing at which are strong virile economy, security and foreign affairs.

Please re-read what you typed slowly if your position makes general sense and not sentimental.

Doesn’t the state government have accounts with CBN, is the request for audited LGA accounts alien to you?

Common sense has indeed left us

This is really going to affect LCDA administration in Lagos and other states using the sustem. 💔💔💔

Cardoso is unserious - adding requirements to Supreme Court judgement.

yinchar:
Please re-read what you typed slowly if your position makes general sense and not sentimental.

Doesn’t the state government have accounts with CBN, is the request for audited LGA accounts alien to you?

Common sense has indeed left us

Stop advertising your ignorance. Is having an account with CBN a prerequisite for a state to access its funds from FAAC?

Have the states ever been asked to provide audited accounts before they can get their allocations

I totally agree with your last line. Identifying a problem is usually the first step to solving it

You're on the right path

Ojuntana:
Well! Well!! Well!!!

It seems I've been right all along about this LG autonomy scam. The blurry lines are getting clearer now.

Instead of LG autonomy as being propagated in the media, what these folks are doing is actually LG capture

If the LGs supposedly have autonomy over their funds, why is the FG asking them to fulfil certain conditions before they can access the funds that purportedly belongs to them?

And they will even have deductions from their funds by the FG?!! What was the complaint about the states before?

If LGs are the third tier of government according to the Supreme Court, why are they being given directions to open account with the Central Bank, a federal agency before they can access their own statutory funds?

To add insult to injury, each LG is being asked to submit report of audited accounts for two years!! I thought the reason for the supreme Court judgement was because the LGs were not being properly funded.

So what accounts are you auditing all of a sudden? What is the business of the FG or CBN with how the LGs have been spending their funds?

It's thus obvious that the APC led FG is not interested in LG autonomy at all.

It was just a propaganda move to whip some govs into line and also have more bite over grassroots political setups. It is a move that further enhance unitarianism instead of federalism and it is bound to fail in the long run if this trend continues.

Ordinarily, what goes on between the states and the LGs is not the business of the FG.

FG is not a mediator or big brother over the two. FG should face its core responsibilities which it has been failing at which are strong virile economy, security and foreign affairs.

Yes! They should account for the funds they’d been receiving no matter how small.


There’s nothing FG has requested from them that’s unreasonable, although I agreed that these delays are becoming suspicious

This is good for governance, corruption will be reduced .

The next step government needs to work on is liason with consumer agency because government is known for inflating contract cost so as to embezzle but if consumer agency can put a percentage error on products used , corruption will be drastically reduced.

Politics should be made unattractive but governance . This will weed out unserious and corrupt individuals from participating.

Ok naa..

E still no easy for them.

Xisnin:
Supreme court pronouncement make it a constitutional right for LG.
The FG is not doing the LG a favor!
That is the position of the law. So smuggling an extra condition into
it is nothing but bad faith on the part of the CBN.
They are emboldening the governors by suggesting that the LG can't be trusted to
administer their own funds.
Then, where is the autonomy?

So which issue do you have with CBN asking the LG's to provide proper documentations before they can be credited?

Ojuntana:
Well! Well!! Well!!!

It seems I've been right all along about this LG autonomy scam. The blurry lines are getting clearer now.

Instead of LG autonomy as being propagated in the media, what these folks are doing is actually LG capture

If the LGs supposedly have autonomy over their funds, why is the FG asking them to fulfil certain conditions before they can access the funds that purportedly belongs to them?

And they will even have deductions from their funds by the FG?!! What was the complaint about the states before?

If LGs are the third tier of government according to the Supreme Court, why are they being given directions to open account with the Central Bank, a federal agency before they can access their own statutory funds?

To add insult to injury, each LG is being asked to submit report of audited accounts for two years!! I thought the reason for the supreme Court judgement was because the LGs were not being properly funded.

So what accounts are you auditing all of a sudden? What is the business of the FG or CBN with how the LGs have been spending their funds?

It's thus obvious that the APC led FG is not interested in LG autonomy at all.

It was just a propaganda move to whip some govs into line and also have more bite over grassroots political setups. It is a move that further enhance unitarianism instead of federalism and it is bound to fail in the long run if this trend continues.

Ordinarily, what goes on between the states and the LGs is not the business of the FG.

FG is not a mediator or big brother over the two. FG should face its core responsibilities which it has been failing at which are strong virile economy, security and foreign affairs.

THANK YOU!

IT IS ALL NOTHING BUT A RUSE!

The LGs should do the right thing, otherwise they should not see shishi.

iLoveYouToo:
Yes! They should account for the funds they’d been receiving no matter how small.


There’s nothing FG has requested from them that’s unreasonable, although I agreed that these delays are becoming suspicious

So who is going to make the FG account for the funds they've been receiving or are they now above questioning?
What about the states? Why only LGs who receive pittance in comparison to the two
Stop chasing rats dear fellow

Ojuntana:
Apex bank demands two years audited accounts of LGs



https://thenationonlineng.net/fresh-hurdle-for-local-govts-over-central-bank-accounts/

HUSTLE oo make u no HURDLE

Ojuntana:
So who is going to make the FG account for the funds they've been receiving or are they now above questioning?
What about the states? Why only LGs who receive pittance in comparison to the two
Stop chasing rats dear fellow

lol. So the same mistakes made with states should be repeated with LGAs? Take it to the microeconomic unit.

Wow. If you’ll be impertinent in your responses don’t bother quoting me again

iLoveYouToo:
lol. So the same mistakes made with states should be repeated with LGAs? Take it to the microeconomic unit.

Wow. If you’ll be impertinent in your responses don’t bother quoting me again

Mistake? Who made Mistake with states and when?

Pause a bit and understand what LG AUTONOMY means

We said it that this so called LG autonomy is a ruse and a scam and there is no where in the world that we have three federating unit. It is only two. The state and the FG. They were arguing with us.

Shey una don see now?

If the Supreme court gave the order that LG's should be paid directly immediately since the order was given

1. Why didnt the FG proceed immediately.

2. Months after the judgement they are now wanting to do it. Why are they putting a caveat to it? To the best of my knowledge the supreme court never did.

3. If pereadventure some LG's could not produce their audited accounts is the FG telling us ,that LG wont be paid its monthly allocation?

Shey una see the FG is just beating around the bush for absolutely no reason at all

Ojuntana:
Apex bank demands two years audited accounts of LGs



https://thenationonlineng.net/fresh-hurdle-for-local-govts-over-central-bank-accounts/

If they’ve been managing funds properly, this shouldn’t be a problem. No more free-for-all spending—just accountability. The government wants to ensure funds go where they should, like schools and healthcare, not into private pockets. If they want the money, they should do the right thing and provide the necessary documents. Is that too much to ask?

helinues:
So which issue do you have with CBN asking the LG's to provide proper documentations before they can be credited?

Which issue do you have with writing to seek permission from your councilor before you can go to the
market or visit a friend?
Yes, that is what CBN is doing to LG.
The LG has constitutional right to financial autonomy as you also have constitutional right to freedom of movement
without conditions or permissions needed.