The withholding of Local Government funds by state governors may soon become a thing of the past as President Bola Ahmed Tinubu has threatened to evoke an executive order against state governors who refuse to comply with the Supreme Court judgment granting financial autonomy to the third tier of government.

President Tinubu issued this warning at the 15th National Executive Committee (NEC) meeting of the ruling All Progressives Congress (APC) at the State House Conference Centre, Abuja.

Saturday Telegraph recalls that the Supreme Court, in a landmark judgment delivered on July 11, 2024, ruled in favour of the Federal Government’s suit seeking to enforce financial independence for the 774 local government councils in the country.

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In a unanimous decision by a seven-member panel, the apex court declared it unconstitutional for state governments to retain or manage funds meant for local councils.

The apex court thus ordered that allocations from the Federation Account be paid directly to local governments, in line with Section 162 (5–8) of the 1999 Constitution (as amended), a provision widely flouted by many states through the operation of joint accounts.

Speaking on the reports that some governors were still refusing to release statutory allocations to local councils, President Tinubu cautioned party chieftains that continued non-compliance could force him to take decisive action through the Federation Account Allocation Committee.