The All Progressives Congress (APC) and the Social Democratic Party (SDP) in Ondo State have entered into a heated exchange over allegations of misappropriation of federal allocations meant for local government administration.
The controversy began after the SDP accused the Ondo State Government, led by the APC, of diverting funds intended for local governments, an action they claim violates constitutional principles of local government autonomy. The SDP asserted that it had received credible intelligence indicating that the state government had been collecting and managing the funds allocated to local councils, thereby depriving them of the financial resources required for grassroots development.
In a statement released by the SDP chairman in Ondo State, Gbenga Akinbuli, the opposition party alleged that the state no was interfering with constitutionally designated funds, which are intended to ensure development at the community level. The party argued that this action undermines the constitutional independence of local government authorities and poses a significant threat to democratic governance at the grassroots.
“We have credible information that federal allocations meant for local governments are being collected by the state government,” Akinbuli stated. “This revelation raises serious concerns about fiscal federalism, local autonomy, and the principles of democracy.”
He emphasized that the alleged diversion has serious implications, including stalling local development, eroding public trust, and denying communities access to essential services such as healthcare, education, infrastructure, and security.
“It is unconscionable that funds intended for grassroots development and service delivery are being siphoned off, depriving local communities of essential services and infrastructure. This not only undermines the effectiveness of local governments but also erodes trust in the system and perpetuates underdevelopment,” Akinbuli added.
In a swift rebuttal, the APC rejected the allegations, describing them as unfounded and politically motivated. The party’s Director of Media and Publicity in Ondo State, Steve Otaloro, issued a statement condemning the SDP’s claims, labeling them as “blatant lies from the pit of hell.”
Otaloro stated that the funds in question are managed according to legal procedures and released directly from the federation account in line with national financial protocols. He insisted that the administration of Governor Lucky Aiyedatiwa had never interfered with nor misused any local government funds since taking office.
“The APC in Ondo State categorically rejects the recent allegations made by the SDP regarding the diversion of local government funds by the state government,” Otaloro said. “These claims are aimed at misleading the public and creating unnecessary tension in our polity.”
He called on the opposition to verify its information and avoid making public statements that could incite discord or mislead citizens. Otaloro affirmed that the Tinubu-led government, through its state representative Governor Aiyedatiwa, has continued to support local government autonomy and democratic functioning.
According to Otaloro, despite the absence of local government elections in the state, the administration has ensured that the local councils continue to function effectively, thereby avoiding a vacuum in grassroots governance.
“This approach is designed to prevent any vacuum in governance at the grassroots and to uphold the principles of accountability and transparency,” he said.
The political clash comes at a time when the issue of local government autonomy has been a significant subject of debate across Nigeria. Several stakeholders have raised concerns over how state governments manage local government finances, accusing them of using joint account arrangements to exert undue control.
Although the Constitution guarantees a level of financial and administrative independence for local governments, in practice, many states have been accused of undermining these provisions. The Federal Government has recently reiterated its stance on local government autonomy, and this latest dispute adds to the mounting pressure on state governments to clarify how allocations are utilized.
As of now, no independent verification has been made public regarding the SDP’s allegations. Neither the Ondo State Ministry of Finance nor the office of the Auditor-General has issued a formal statement on the matter. The back-and-forth between the two parties is expected to intensify political tension in the state, especially with growing scrutiny of fiscal accountability ahead of upcoming local elections.
Observers believe the exchange may also reflect broader national political dynamics, where opposition parties are increasingly challenging the ruling party on governance and transparency issues. Whether any investigation will be launched to substantiate or dismiss the allegations remains to be seen.