The Economic and Financial Crimes Commission (EFCC) says it froze the Osun State Government’s bank account over the alleged fraudulent handling of N11 billion in ecological and intervention funds.
In a statement issued on Wednesday, the anti-graft agency said it had been investigating the Osun State Government since March over the alleged mismanagement of the funds.
According to the EFCC, several state officials, including the Accountant-General, have been questioned as part of the investigation.
The commission said it noticed substantial transfers from the government account into several corporate entities from August 2, prompting it to impose a post-no-debit restriction.
“These ongoing investigations of the state government would not have warranted any placement of Post No Debit order on its account but for the precipitate and unwarranted movement of funds from the accounts to different suspicious accounts since August 2, 2026,” the EFCC said.
“The Commission noticed huge transfers of funds into different corporate entities and had to swiftly halt the trend by freezing the accounts from which such heavy funds are being moved.
“The EFCC’s preventive mandate is a public-inclined framework of safeguarding public funds, assets and resources.
“The Commission cannot watch idly while a state government’s account is being pillaged.”
The commission also dismissed suggestions that the approaching Osun governorship election should prevent it from taking action.
“The Osun State government account was frozen to save public funds from being looted,” the agency added.
According to a letter dated August 5, 2026, signed by Adenike Babalola, Assistant Commander of the EFCC on behalf of the Director of Investigation, the commission directed First Bank to block withdrawals from the Osun State Government’s statutory allocation account pending the conclusion of its investigation.
Reacting to the development, Governor Ademola Adeleke condemned the action, saying the state would not tolerate federal agencies trampling on the rights of subnational governments.
Adeleke alleged that his administration had faced several sponsored attacks, including the harassment of Accord Party members and attempts to disrupt the operations of local government councils in the state.
The governor said he had instructed the state Attorney-General to challenge what he described as the illegality of the account freeze.
