The Court of Appeal in Abuja has overturned a Federal High Court decision that had previously restrained the Central Bank of Nigeria (CBN) and the Accountant General of the Federation from releasing financial allocations to Rivers State. This ruling reinstates the state's access to its statutory funds.
In October 2024, Justice Joyce Abdulmalik of the Federal High Court had issued an order halting the release of funds to Rivers State, citing concerns over the legitimacy of the state’s House of Assembly and the presentation of the 2024 budget. The court held that the budget was presented to an "illegitimate" assembly, violating constitutional provisions.
However, a three-member panel of the Court of Appeal, led by Justice Hamman Barka, ruled that the Federal High Court lacked jurisdiction over the matter, as it pertained to state revenue issues. The appellate court deemed the lower court's orders unconstitutional, stating that it overstepped its authority by restricting the state's access to its funds.
The Rivers State Government welcomed the decision, with the Commissioner for Information and Communications, Joseph Johnson, describing it as a victory for constitutional governance. He emphasized that the ruling clarified the distinction between federal allocations and state appropriations, affirming the state's autonomy in managing its financial affairs.
This development is significant for Rivers State, as it ensures the continuation of essential services and governance without financial disruptions. The case highlights the importance of judicial clarity in matters concerning state and federal financial relations.
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