UBA Account Opened By Yes Or No Chairmen Sparks Authenticity Concerns
Fresh controversy has erupted in Osun State over the handling of the long-withheld local government allocations, as revelations of newly opened accounts in the United Bank for Africa (UBA) continue to stir heated debate among political parties, lawmakers, and civil society groups.
The All Progressives Congress (APC) had on Sunday confirmed that the Federal Government had released the withheld allocations to local governments in the state.
In a statement signed by its Director of Media and Information, Kola Olabisi, the party, however, dismissed claims that the funds were paid directly into the accounts of its chairmen.
According to the APC, the monies were paid into the council accounts and not into private hands, insisting that the allegations by the leadership of the National Union of Local Government Employees (NULGE) were “false and misleading.”
But the Peoples Democratic Party (PDP) countered sharply, accusing the APC of diverting the funds.
In a statement signed by its State Chairman, Sunday Bisi, the PDP challenged the council chairmen elected under the APC to publicly disclose the account numbers and signatories into which the allocations were paid.
Bisi said the APC’s admission of receipt of the allocations was “an admission of crime,” adding that statutory officers of the 30 local governments, as well as the state’s Accountant General and Auditor General, had no knowledge of the payments.
Amidst the back and forth, an Oyo State High Court granted an interim injunction restraining UBA from disbursing the allocations. The suit, filed by the Osun State Attorney General and the Local Government Service Commission, sought to halt payments into the disputed accounts.
Justice A. L. Akintola, ruling on the matter, barred the bank from releasing the funds, holding that any delay in granting the order “may foist on the claimants an irreversible harm.”
The case is expected to return for hearing on October 3, 2025.
The Osun State House of Assembly also waded in, warning that only duly authorised officers of the Local Government Service Commission are permitted signatories to council accounts.
In a statement signed by the Speaker’s Chief Press Secretary, Olamide Tiamiyu, the Assembly cautioned financial institutions against recognising unauthorised signatories, warning that such acts would be treated as aiding financial fraud.
The APC, however, fired back, accusing the Assembly of overstepping its constitutional boundaries.
In a statement on Tuesday, Olabisi insisted that the House of Assembly had no powers to supervise local government spending.
According to him, “It is an aberration for State Houses of Assembly to seek to take over financial supervision of Local Governments in whatever form and under whatever guise.”
Meanwhile, court documents sighted by OSUN DEFENDER reportedly revealed the actual UBA account numbers into which the allocations were paid.
The accounts, numbering 30, were allegedly opened in the names of the local councils by the Yes/No APC chairmen.
In a letter dated 26th September 2025, Osun State Government’s lead counsel, Musibau Adetunbi (SAN), reminded UBA of the subsisting court order, cautioning the bank against releasing any funds pending the determination of the motion on notice.
OSUN DEFENDER also checked the accounts and confirmed that they were opened in the names of the council areas.
However, the names on the accounts only referred to the local governments without any prefix or suffix.
The medium observed that the accounts bear a single name, which is not in compliance with the Know Your Customer (KYC) policy of opening a bank account in Nigeria, whether current or savings.
When OSUN DEFENDER contacted UBA on Tuesday for comments, the bank confirmed receipt of the inquiry and promised feedback within 48 hours.
“Please be informed that your email is currently receiving attention and we will provide feedback within 48 hours,” the bank said.
In a follow-up visit to local government secretariats in Ile-Ife, Osogbo and Ede metropolis on Tuesday morning, OSUN DEFENDER met deserted offices.
A security officer at the gate of Ife Central Local Government Secretariat said, “We are not aware of any new development. The chairman and other officials are not around. As you can see, nobody is around presently.”
Sodiq Lawal is a passionate and dedicated journalist with a knack for uncovering captivating stories in the bustling metropolis of Osun State and Nigeria at large. He has a versatile reporting style, covering a wide range of topics, from politics , campus, and social issues to arts and culture, seeking impact in all facets of the society.
