The Oyo State High Court in Ibadan has extended its interim injunction restraining the United Bank for Africa, UBA, from allowing withdrawals on 30 bank accounts into which withheld Osun State local government allocations were lodged by the Central Bank of Nigeria, CBN.
Justice Ladiran Akintola, in a ruling on Friday, prolonged the order, first issued on September 26, until October 9, 2025.
The extension, he said, was necessary to give all parties in the case, including the Attorney-General of Osun State, the Osun State Local Government Service Commission, and UBA Plc, an opportunity to be fully heard.
While counsel to UBA was not present in court, senior lawyer Kazeem Gbadamosi, SAN, representing former All Progressives Congress, APC, council chairmen, appeared after filing applications seeking to join the matter and to contest the court’s jurisdiction.
Counsel to the plaintiffs, Musibau Adetunmbi, SAN, requested additional time to respond, noting that the applications were only filed late Thursday and Friday.
He also argued that the ex-council chiefs lacked the legal standing to raise jurisdictional issues since their request to be joined had not been granted.
Gbadamosi countered that his clients were directly affected by the interim order and therefore had the right to be joined. He also contended that the court lacked the authority to extend what he described as an “expired” order.
In support of the plaintiffs’ position, a fresh affidavit filed by Mrs Rachael Abidemi, Head of Local Government Administration in Boluwaduro LGA, alleged attempts to illegally withdraw council funds in breach of the subsisting order.
She pointed to a letter purportedly sent to UBA directing the diversion of 15 percent of statutory allocations into the account of a private law firm, insisting the instruction was unlawful as it did not come from recognised council officials.
The plaintiffs maintained that the question of who the legitimate council chairmen are is still before the Supreme Court in Suit No. SC/CV/773/2025, warning that any disbursement of the funds could prejudice the apex court’s decision.
Speaking with journalists after the session, Adetunmbi said the extension was a safeguard to prevent the possible diversion of billions of naira under questionable claims.
“The essence of this preservation order is to secure the funds pending the Supreme Court’s hearing on Tuesday, October 7,” he explained. “Without it, the money in dispute could easily vanish under the guise of legal fees or other deductions.”
The case has been adjourned to October 9, 2025, for further hearing.
Court extends freeze on Osun LG funds in 30 bank accounts