JUST IN: Appeal Court Overturns Order Blocking Funds to Rivers State

The Court of Appeal in Abuja has overturned orders barring the Central Bank of Nigeria (CBN) and the Accountant General of the Federation from releasing funds to the Rivers State Government. The decision nullifies earlier rulings by Justice Joyce Abdulmalik of the Federal High Court, who had issued the restrictions.

A three-member panel, led by Justice Hamman Barka, ruled that the Federal High Court lacked jurisdiction to entertain the matter, which pertained to state revenue. The appellate court deemed the lower court’s actions unconstitutional and beyond its authority, emphasizing that Rivers State is entitled to funds from its consolidated revenue.

The appeal by the Rivers State Government was upheld, voiding all prior orders against the release of funds. The Court of Appeal described the restrictions as an overreach by the Federal High Court, which had no legal basis to prevent the state from accessing its constitutionally guaranteed revenue.

In October, Justice Abdulmalik had ruled that Rivers State Governor Siminalayi Fubara violated the Constitution by receiving and disbursing monthly allocations from January 2024 onward. She criticized Fubara for presenting the state’s 2024 budget to a four-member Rivers State House of Assembly, calling it a breach of constitutional provisions. The judge subsequently restrained the CBN, the Accountant General, Zenith Bank, and Access Bank from allowing the governor to access funds from the Consolidated Revenue and Federation Account.

The Appeal Court’s decision restores Rivers State’s access to its statutory allocations, effectively removing the financial restrictions imposed by the earlier ruling.