In a surprise move, the Federal Government (FG) has made a U-turn on its earlier decision to withhold monthly allocations to Rivers State. This development comes amid an ongoing legal battle between the state government and the FG.
According to Bawa Mokwa, the Director of Press and Public Relations at the Office of the Accountant-General of the Federation, the FG will obey the court order and continue to disburse monthly allocations to Rivers State ¹. This decision is a reversal of the earlier stance taken by the FG, which had announced that it would stop paying monthly allocations to the state due to an ongoing legal dispute.
*Background of the Dispute*
The dispute between the Rivers State government and the FG began when a faction of the state's House of Assembly, led by Martin Amaewhule, filed a lawsuit challenging the legitimacy of the state's budget. The court ruled in favor of the plaintiffs, directing the Central Bank of Nigeria (CBN) and the FG to withhold monthly allocations to the state ².
However, the Rivers State government, led by Governor Simi Fubara, appealed the court's decision, arguing that the ruling was unjust and would cause undue hardship to the people of the state.
*Implications of the FG's Decision*
The FG's decision to continue sending monthly allocations to Rivers State is a significant development in the ongoing dispute. It is likely to bring relief to the people of the state, who had been worried about the potential consequences of the FG's earlier decision.
However, it is unclear how this development will affect the ongoing legal battle between the state government and the FG. The FG's decision may be seen as a temporary reprieve for the state government, but it is unlikely to resolve the underlying issues that led to the dispute in the first place.
*Conclusion*
The FG's decision to continue sending monthly allocations to Rivers State is a welcome development, but it is only a temporary solution to the ongoing dispute. The underlying issues that led to the dispute need to be addressed through a negotiated settlement or a court ruling. Until then, the people of Rivers State will continue to face uncertainty and insecurity.
References:
¹ Nairaland report on FG obeying court order to continue sending monthly allocations to Rivers State.
² Report on FG stopping FAAC allocation to Rivers State due to court order.
³ Nairaland report on Governor Fubara taking action following ban on federal allocations.