The Rivers State Government is celebrating a major victory after the Appeal Court overturned a Federal High Court verdict that had blocked the Central Bank of Nigeria (CBN) and the Accountant General of the Federation from releasing funds to the state.
The Appeal Court’s Abuja division made the ruling on Friday, reversing the earlier judgment by Justice Joyce Abdulmalik of the Federal High Court in Abuja. Abdulmalik had stopped the CBN from releasing monthly allocations to Rivers State on October 30, citing the presentation of the 2024 budget by Governor Siminalayi Fubara before the “illegitimate” Rivers House of Assembly as an affront to Constitutional provisions.
Abdulmalik held that the presentation of the appropriation bills before the “illegitimate” Rivers House of Assembly was an affront to the Constitutional provision. “It is mandatory to present the appropriation bills before the appropriate House of Assembly before legitimate disbursement and withdrawal can be made,” she held.
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However, the Appeal Court disagreed, stating that the Federal High Court lacked jurisdiction to entertain the suit seeking to seize Rivers State’s allocation. The court emphasized that the mere listing of federal agencies does not confer unrestricted jurisdiction on the Federal High Court and that the subject matter – the appropriation issue of a state – should not have been entertained.
A three-member panel of the appellate court presided over by Justice Hamman Barka, held that the federal high court lacked the jurisdiction to entertain the suit seeking to seize Rivers State allocation. The court added that the mere listing of federal agencies does not confer unrestricted jurisdiction on the federal high court and the subject matter which is the appropriation issue of a state should not have been entertained.
While allowing the appeal, the appellate court also set aside all the orders made by Justice Abdulmalik, stating that it was unconstitutional for her to make orders restricting Rivers state government from receiving funds due to the state from its consolidated revenue fund.
The appellate court held that the lower court overreached itself and didn’t have the jurisdiction to entertain the matter.
Commenting on the judgment, the Rivers State Commissioner for Information and Communications, Joseph Johnson, hailed the judgment, saying it brought an end to ‘judicial terrorism by the Federal High Court.’
Johnson said, “The judgment has asserted a sacred principle of our constitutional governance and democracy.”
He said the court clarified that there was a difference between funding federation account and state appropriation which is an internal affair of the state that fell under the powers of the State High Court.
The commissioner added, “The Federal High Court has no powers to do what they did. I will describe it as judicial terrorism that was asserted on people.”
“But God has saved us. It tells you that God who oversees the affairs of man has seen that the judgment was in bad faith. And we’re happy that the Court of Appeal has upturned it and Rivers people are happy.”
“The entire state secretariat was agog with jubilation when that judgment came.”
The judgment has significant implications for the state’s finances and governance, and the Rivers State Government is no doubt relieved to have this major hurdle lifted.
The Appeal Court’s ruling is a testament to the independence of the judiciary and its commitment to upholding the Constitution. The judgment has far-reaching implications for the relationship between the federal government and the states, and it is a significant victory for the Rivers State Government.
As the state government celebrates this major victory, it is clear that the Appeal Court’s judgment has brought a sense of relief and jubilation to the people of Rivers State. The judgment is a testament to the power of the judiciary to uphold the Constitution and protect the rights of citizens.