Osun Alleges CBN Plot to Divert Local Government Funds into Private Accounts
The Osun State Government has raised alarm over an alleged scheme involving the Central Bank of Nigeria (CBN) and the Office of the Accountant-General of the Federation to divert Local Government funds meant for Osun State.
In a statement dated June 18, 2025, Commissioner for Local Government and Chieftaincy Affairs, Dosu Babatunde, disclosed that intelligence suggests both federal bodies have finalized plans to illegally channel Osun’s Local Government allocations into private accounts held by individuals impersonating government officials.
The state described the alleged plot as a blatant breach of Nigeria’s public finance laws and called on President Bola Ahmed Tinubu to intervene urgently to prevent what it termed a constitutional violation aimed at looting public funds under the guise of official transactions.
Babatunde explained that after learning of the suspicious plan, the Osun government formally introduced the legitimate accounting officers—Heads of Local Government Administrations (HLAs) and Directors of Finance for all 30 local governments—to the CBN through the Office of the Auditor-General for Local Governments.
Shockingly, the Osogbo branch of the CBN reportedly rejected this official list and proceeded to direct Local Government allocations into private accounts allegedly linked to associates of former Governor Gboyega Oyetola, without the authorization of the recognized accounting officers.
The Commissioner emphasized that the state believes these illegal activities are being carried out without the knowledge or consent of President Tinubu or the Minister of Finance.
Warning sternly, the Osun State Government declared that any funds paid into unauthorized private accounts will not be recognized as legitimate Local Government allocations. The government vowed to pursue all lawful actions to correct the anomaly and hold those involved accountable.
“We reiterate that money deposited into private accounts cannot and will not be considered legitimate Local Government funds. Anyone involved will face the full force of the law,” the statement concluded.
