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President Bola Tinubu has warned state governors that he may issue an executive order to enforce direct allocation of funds to LGs if they fail to comply with the supreme court ruling on financial autonomy.
The president issued the warning again on Friday while speaking at the 15th national executive committee (NEC) meeting of the All Progressives Congress (APC) at the State House conference centre in Abuja.
In a veiled reference to governors withholding statutory allocations meant for local councils, the president said non-compliance could force him to ensure direct disbursement of LG funds from the Federation Account Allocation Committee (FAAC).
Addressing NEC members, including governors and members of the national working committee (NWC), Tinubu said he had so far exercised restraint in dealing with the governors on the matter.
“The Supreme Court has capped it for you again, saying, ‘give them their money directly,’” he said.
“If you wait for my executive order, because I have the knife, I have the yam, I will cut it.
“I’m just being very respectful and understanding with my governors. Otherwise, if you don’t start to implement it, fact after fact, you will see.”
Tinubu’s remarks followed the July 11, 2024, judgement of the apex court affirming the financial autonomy of LGs.
In a unanimous ruling, a seven-member panel of the court declared it unconstitutional for state governments to retain or manage funds meant for LG councils.
The court ordered that allocations from the federation account be paid directly to LGs, as provided for under sections 162(5) to 162(8) of the 1999 Constitution (as amended).
Tinubu reiterated that compliance with the judgement is mandatory and warned that continued violations could attract federal intervention.
“The ultimate goal is our supreme court. We have to comply. We have to respect the judgement,” he said.
Tinubu had earlier on Thursday night given the directive at the 14th national caucus meeting of the ruling party held at the State House.
