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Supreme Court Dismisses Governors’ N1.8 Trillion Recovered Funds Lawsuit Against Federal Government

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Supreme Court Dismisses 36 Governors’ Claim to N1.8 Trillion Recovered Funds

Court Rules It Lacks Jurisdiction Over Asset Recovery Dispute

The Supreme Court has dismissed a lawsuit filed by 36 state governments and the Nigeria Governors’ Forum (NGF) challenging the federal government’s management of N1.8 trillion in recovered looted funds.

In a unanimous decision delivered by Justice Mohammed Idris, the seven-judge panel ruled that the apex court lacked jurisdiction to hear the case (SC/CV/395/2021), stating it properly belonged before the Federal High Court.

Details of the Governors’ Claims

The states had alleged that between 2015 and 2021, the federal government recovered:

  • N1.84 trillion in cash
  • 167 properties
  • 450 vehicles
  • 300 trucks and cargo units
  • 20 million barrels of crude oil (valued at over N450 billion)

Constitutional Violations Alleged

The plaintiffs argued these assets were improperly diverted to:

  1. The Consolidated Revenue Fund (CRF)
  2. Special asset recovery accounts
  3. Interim forfeiture recovery accounts

They contended this violated constitutional provisions requiring all revenues to be paid into the Federation Account for equitable distribution among federal, state, and local governments.

Key Legal Arguments

The states based their case on:

  • Sections 162(1) and 162(10) of the Constitution
  • Section 80 of the Constitution
  • Section 2 of the Finance (Control and Management) Act of 1958

Reliefs Sought

The governors requested the court to:

  1. Declare all recovered assets must be paid into the Federation Account
  2. Order the transfer of N1.8 trillion cash and N450 billion in assets to the Federation Account
  3. Compel a full accounting of all recovered assets

Related reading: Court fixes June 25 to hear DSS lawsuit against Pat Utomi

More business news: Fidelity stock dips 3.85% as bank clarifies position on Supreme Court judgement

Full credit to the original publisher: BusinessDay

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