The Abuja division of the Court of Appeal has vacated the high court order that restrained the Central Bank of Nigeria and the Accountant General of the Federation from releasing Derivation and other funds to the Rivers State Government.
Recall that on October 30, Justice Joyce Abdulmalik of the Federal High Court in Abuja stopped the Central Bank of Nigeria from further releasing monthly financial allocations to the Rivers state government.
She held that the presentation of the 2024 budget by the River State Governor, Siminalayi Fubara before an illegitimate Rivers House of Assembly was an affront to the Constitutional provision.
“Appropriation Bill for January to December 2024, being operated by the 5th defendant (Fubara), having not been charged by the lawful House of Assembly, is illegal, unlawful, and subversion of the 1999 Constitution.
“It is mandatory to present the appropriation bills before the appropriate Houses of Assembly before legitimate disbursement and withdrawal can be made,” she said.
However, a three-member panel of the appellate court presided by Justice Hamman Barka held that the federal high court lacked the jurisdiction to entertain the suit seeking to seize Rivers State allocation.
The court added that the mere listing of federal agencies does not confer unrestricted jurisdiction on the federal high court, and the subject matter, which is the appropriation issue of a state, should not have been entertained.
While allowing the appeal of the Rivers state government, the appellate court also set aside all the orders made by Justice Abdulmalik, stating that it was unconstitutional for her to make orders restricting Rivers state government from receiving funds due to the state from its consolidated revenue fund.
The appellate court held that the lower court overreached itself and didn’t have the jurisdiction to entertain the matter.
