BREAKING: Court Of Appeal Panel Reserves Judgment As FG Suspends FAAC Payments To Rivers State

The federal government has disclosed that the monthly funds from the Federation Account Allocation Committee (FAAC) will no longer be paid to the Rivers State government......See Full Story>>.....See Full Story>>

This decision, confirmed by Bawa Mokwa, spokesperson of the Office of the Accountant General of the Federation, is in compliance with a court order on the political situation in Rivers State. Although no state has been paid the FAAC revenue for October 2024, the government will respect the court order specifically pertaining to Rivers State.

The court order in question was issued by the Federal High Court, which had restrained the Central Bank of Nigeria (CBN) from allowing the Rivers State government to draw funds from the consolidated revenue account. This restraining order followed a suit (FHC/ABJ/CS/984/24) brought by the Hon. Martins Amaewhule-led faction of the Rivers State House of Assembly.

In response to this judgement, Governor Siminalayi Fubara urged the Court of Appeal in Abuja to set aside the decision. The governor, through his legal team led by Mr. Yusuf Ali, SAN, prayed a three-member panel of the appellate court to vacate the high court order, which he maintained was issued in bad faith. Governor Fubara’s plea came on the same day the Court of Appeal consolidated five other appeals arising from the high court judgment.

The factional members of the Rivers State Assembly, loyal to the immediate past governor Nyesom Wike, had persuaded the lower court to withhold federal monthly allocations meant for Rivers State. They argued that Governor Fubara refused to comply with a court order directing him to present the 2024 Appropriation Bill before them. However, Governor Fubara insisted that the Amaewhule-led group had ceased to be lawmakers in the state after decamping from the Peoples Democratic Party (PDP) to the All Progressives Congress (APC).

While the appellants, including Governor Fubara, the Rivers State Government, the Accountant-General of Rivers State, and Zenith Bank Plc, beseeched the appellate court to allow their appeal, the Amaewhule-led faction asked the court to dismiss the appeals and affirm the high court judgment. The Court of Appeal has reserved its judgment on the matter, to be communicated to the parties at a later date.

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