Osun Govt Threatens Lawsuit As EFCC Freezes Allocation Accounts

The Osun State Government has threatened legal action against the Economic and Financial Crimes Commission (EFCC) after the anti-graft agency directed First Bank to restrict access to one of the state’s allocation accounts.

Speaking to journalists in Osogbo on Wednesday, the state’s Attorney-General and Commissioner for Justice, Oluwole Jimi-Bada, criticised the move, saying the government would challenge it in court.

According to a letter dated August 5, 2026, the EFCC instructed First Bank to place a post-no-debit restriction on the Osun State Government Statutory Allocation account as part of an ongoing investigation.

The letter, signed by Adenike Babalola on behalf of the EFCC’s Director of Investigation, cited the provisions of the EFCC Act and the Money Laundering (Prevention and Prohibition) Act as the legal basis for the directive.

The agency said the restriction would remain in place while its investigation continues.

Jimi-Bada argued that the action could disrupt government activities and insisted the state would seek legal redress to ensure the EFCC acts within the law.

“This step will affect government running, but we will challenge the move and ensure that the agency acts within the ambit of the law,” Jimi-Bada said.

Also speaking at the briefing, the Commissioner for Finance, Sola Ogungbile, alleged that police officers visited First Bank’s main branch in Osogbo and arrested some members of the bank’s staff.

The development comes shortly after Governor Ademola Adeleke claimed that the EFCC was planning to freeze all state government accounts ahead of the August 15 governorship election.

In a statement issued by the Commissioner for Information and Public Enlightenment, Kolapo Alimi, the governor described the reported plan as unlawful.

He alleged that the move was intended to disrupt the operations of the state government before the election.

Adeleke also claimed that accounts belonging to senior government officials could be affected.

When contacted, EFCC spokesperson Dele Oyewale said he would respond later but had not issued an official statement as of the time of filing this report.

However, a source familiar with the matter confirmed that the letter was genuine and stated that the commission’s investigation into the Osun State Government has been ongoing for more than a year and did not begin recently.

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