A Federal High Court, Uyo, Akwa Ibom, presided over by Justice A. A. Okeke has refused to grant the request of Akwa Ibom State government to stop the implementation of the guidelines on local government funds issued recently by the Nigerian Financial Intelligence Unit (NFIU).
It would be recalled that the NFIU had on May 6 issued the ‘Guidelines to Reduce Vulnerabilities Created by Cash Withdrawals from Local Government Funds throughout Nigeria’ which restored the full mandate of the operations of State/Local Government Joint Accounts solely for the distribution of funds directly to the accounts of the local governments
Also, Banks were requested to ensure the full implementation of the guidelines with effect from today, June 1, 2019.
But, all local government areas in Akwa Ibom State and the state government, through the attorney general of the state, approached the Uyo division of the Federal High Court seeking to nullify the guidelines issued by the NFIU.
The court, on Friday, however, declined the request after listening to counsel from the state government and the NFIU.
The plaintiffs, who were represented by the State Attorney General, Uwem Nwoko (SAN), also urged the court to grant a restraining order against the NFIU stopping the commencement of the guidelines on the 1st of June,2019.
Arthur Obi-Okafor, SAN, who represented NFIU, challenged the locus standi of the plaintiffs and prayed the court not to grant any order ”in favour of persons who are nothing but busy bodies.”
He further notified the court that the matter is of grave national security concern and that the urgency raised by the plaintiffs is self-induced since the guidelines were released on May 1, 2019.
The court declined to issue any restraining order and adjourned the matter to June 21,2019 to hear all pending applications.
