Court Stops CBN from Releasing Allocation to Rivers State

 

In a landmark ruling, the Federal High Court in Abuja, presided over by Justice Joyce Abdulmalik, has issued an order restraining the Central Bank of Nigeria (CBN) from further releasing monthly financial allocations to the Rivers State Government. The decision follows a suit questioning the constitutionality of Governor Siminalayi Fubara’s 2024 budget presentation, which took place before a four-member Rivers House of Assembly—a move the court described as a violation of constitutional protocol.

 

Justice Abdulmalik emphasized that the disbursement of monthly allocations since January was a “constitutional aberration” and must be halted. Consequently, the court also ordered the Accountant General of the Federation and banking entities, including Zenith Bank and Access Bank, to suspend any transactions with Rivers State funds from the Consolidated Revenue and Federation Account.

 

This ruling has generated significant attention due to its implications on the fiscal operations of Rivers State. Governor Fubara’s administration faces mounting challenges in accessing crucial funding, intensifying scrutiny on the state’s budgetary process. Further updates are anticipated as the legal proceedings continue.