The Nigeria Union of Local Government Employees (NULGE), Osun State chapter, has expressed strong concern over what it described as an ongoing attempt by the Central Bank of Nigeria (CBN) and other federal authorities to divert local government allocations in the state into private accounts.

Addressing journalists in Osogbo, the State President of NULGE, Kehinde Nathaniel Ogungbangbe, said the union has obtained a letter from the Office of the Accountant General of the Federation requesting the opening of local government accounts through individuals outside the standard procedures established by law.

According to Ogungbangbe, the letter—dated June 10, 2025, and signed by a Director in the Federation Account Department—stipulated that two individuals from a list including Chairmen, Treasurers, Directors of Finance and Administration, or Directors of Personnel Management should apply to open the accounts.

He described this move as a “gross violation” of established legal protocols governing local government finances.

“We have notified the Honourable Minister of Finance, the Accountant General of the Federation, and the CBN Governor that in Osun State, only career officers—specifically the Directors of Finance and Supplies and Directors of Administration and General Services—are legally recognized signatories to local government accounts. These must be co-signed by the Heads of Local Government Administration and the Council Chairmen,” he said.

Ogungbangbe alleged that the CBN was preparing to pay the local government allocations into the personal accounts of individuals who are not staff of the local government system. He warned that such actions could lead to financial malpractice and further complicate the political crisis currently gripping the state’s third-tier government.

The NULGE boss also addressed the ongoing tension between the ruling Peoples Democratic Party (PDP) and the All Progressives Congress (APC) following a recent Appeal Court judgment, which has led to political unrest and a breakdown of administrative operations in many local government councils.

Citing security concerns, Ogungbangbe revealed that NULGE members were directed to stay away from their offices in compliance with a directive from the Nigeria Labour Congress (NLC), Osun State chapter.

“Our members are anxious to return to work, but their safety remains our top priority. We urge all parties to embrace dialogue and allow the judiciary to resolve the ongoing issues peacefully,” he stated.

Ogungbangbe commended Governor Ademola Adeleke for what he described as his “maturity and leadership” in managing the crisis and appreciated the support of NULGE’s national leadership, led by Comrade Aliyu Haruna Kankara.

Reiterating NULGE’s commitment to legality, the union leader emphasized that the organization would continue to resist any form of illegality and urged all stakeholders to uphold the law and ensure the protection of public funds.