(DDM) – The Osun State House of Assembly has raised serious concerns over alleged unauthorised deductions from local government accounts.
DDM gathered that Speaker Adewale Egbedun wrote to multiple banks, emphasizing that council treasurers lack the legal authority to approve such deductions.
Egbedun stated that some local councils attempted to divert funds without prior budgetary approval.
He specifically cited a 15 percent cut in Boluwaduro Local Government as a recent example of unlawful deductions.
Lawmakers warned that banks complying with illegal instructions risk investigation by anti-corruption agencies.
The Assembly also cautioned that such banks could lose the privilege of managing government accounts in the future.
The House reaffirmed its September 29 resolution mandating strict adherence to financial regulations and legal procedures.
According to sources, the Assembly is determined to ensure all council funds are protected from unauthorised manipulations.
The NULGE leadership dismissed claims suggesting it had instructed workers to resume duties in any affected councils.
NULGE described the information as false and politically motivated, aimed at creating confusion.
Political analysts note that the move by the Osun Assembly reflects growing efforts to enforce accountability in local government finances.
Residents and stakeholders have welcomed the Assembly’s stance, calling for full compliance from banks and council officials.
Experts say that strict enforcement could serve as a deterrent to further attempts at unlawful deductions across the state.
The Assembly is reportedly planning follow-up measures to monitor banks and ensure full compliance with financial laws.
Lawmakers insist that protecting local government allocations is crucial for effective service delivery to communities.
Officials have urged citizens to report any suspicious transactions involving local government accounts to relevant authorities.
Financial analysts note that similar cases in other states have resulted in legal action against both banks and erring council officers.
The Speaker emphasized that protecting public funds is a shared responsibility of both the government and financial institutions.
The Osun Assembly has pledged continuous oversight to prevent further misuse of council allocations.
Observers say this proactive approach could strengthen transparency and accountability in state financial management.
