Socio-Economic Rights and Accountability Project (SERAP) has dragged Nigeria’s 36 state governors and the Minister of the Federal Capital Territory (FCT), Nyesom Wike, before the Federal High Court over what it describes as the secretive spending of an estimated N14 trillion fuel subsidy savings.
The lawsuit follows revelations that governors and the FCT administration have received trillions of naira in increased allocations from the Federation Account Allocation Committee (FAAC) since the removal of fuel subsidy in May 2023. Despite the windfall, SERAP says ordinary Nigerians have seen little or no improvement in access to quality healthcare, education and other essential services.
Filed last Friday in Lagos under suit number FHC/L/MSC/1424/2025, the case asks the court to compel the governors and Mr Wike to publicly disclose how the subsidy savings were spent. SERAP is also demanding full details of projects allegedly executed with the funds, their locations and completion reports.
According to SERAP, Nigerians have a constitutional right to know how public funds — particularly savings from the controversial fuel subsidy removal — are being utilised. The organisation argues that transparency is essential to democracy and critical to rebuilding public trust in government.
SERAP warned that continued opacity in the management of the subsidy savings would further harm citizens, especially the poor and vulnerable who are already struggling with rising living costs triggered by the subsidy removal.
“The savings ought to be spent solely for the benefit of those bearing the brunt of the policy,” SERAP said, stressing that secrecy risks imposing a “double jeopardy” on struggling Nigerians.
The rights group also raised concerns about possible mismanagement and diversion of funds, citing reports that some states may be using public money for luxury travel, exotic vehicles and other non-essential expenses, while workers remain unpaid and basic services deteriorate.
SERAP noted that in 2024 alone, FAAC reportedly distributed N28.78 trillion from subsidy removal proceeds — a 79 per cent increase from the previous year. State allocations rose by 45.5 per cent to N5.22 trillion, with monthly distributions in 2025 said to exceed N1.6 trillion.
Yet, the organisation argued, poverty levels have worsened, many states still owe salaries and pensions, and millions of Nigerians remain without access to basic public services.
Backing its case with constitutional provisions, international anti-corruption commitments and a landmark Supreme Court ruling affirming that the Freedom of Information Act applies to states, SERAP insists governors can no longer shield their finances from public scrutiny.
No hearing date has been fixed for the suit.
