BREAKING: Court Orders Central Bank to Suspend Financial Allocations to Rivers State

BREAKING: Court Orders Central Bank to Suspend Financial Allocations to Rivers State

The Federal High Court in Abuja has issued a landmark ruling, barring the Central Bank of Nigeria (CBN) from releasing funds to the Rivers State Government until a valid appropriation act is passed by a duly constituted House of Assembly.

This decision, handed down by Justice Joyce Abdulmalik, responds to a suit brought by the Rivers State House of Assembly under the leadership of Martins Amaewhule.

Justice Abdulmalik ruled that Governor Siminalayi Fubara’s move to present the 2024 Appropriation Bill to an improperly constituted, four-member Assembly should not stand.

With this order, all further funding to the Rivers State Government is effectively frozen until the necessary legislative procedures are fulfilled. This pause in financial allocations puts the state’s funding activities on hold until the House of Assembly can enact a lawful budget.

It was previously reported that the Court of Appeal in Abuja had confirmed Martins Amaewhule as the recognized Speaker of the Rivers State House of Assembly.

In a related case, Justice James Omotosho of the Federal High Court in Abuja nullified an N800 billion budget passed by the Assembly faction led by Edison Ehie and signed by Governor Fubara. The court upheld a suit filed by Speaker Amaewhule’s Assembly against Governor Fubara, seeking an injunction to prevent interference in the Assembly’s activities.

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On December 13, 2023, amidst a prolonged political crisis and following the demolition of the Assembly Complex, Governor Fubara presented the N800 billion 2024 budget proposal to a group of five Assembly members led by Edison Ehie at the Government House in Port Harcourt. This presentation followed a court order preventing Martins Amaewhule from using the Assembly Complex.

The pro-Fubara Assembly members swiftly approved the budget, which the governor signed into law, citing its aim to foster economic growth and reduce inequality in the state.

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