The Economic and Financial Crimes Commission (EFCC) has said it froze the Osun State Government’s bank account after investigators detected suspicious transfers from the state’s accounts while probing the alleged diversion of N11 billion in public funds.
The anti-graft agency said the restriction was not connected to the forthcoming governorship election in the state but was a preventive measure taken after officials observed large sums being moved into the accounts of several corporate entities.
The commission revealed that it has been investigating the Osun State Government since March over the alleged handling of Ecology Funds, Intervention Funds, and allocations from the Federation Account Allocation Committee (FAAC).
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In a statement issued on Wednesday by its Head of Media and Publicity, Dele Oyewale, the EFCC said the Accountant General of Osun State and other government officials had already been questioned as part of the ongoing investigation.
The agency noted that it had initially allowed the investigation to proceed without restricting the state’s accounts, but changed course after monitoring transactions it considered suspicious.
The EFCC said investigators noticed substantial movements of money from August 2 into different corporate accounts, which prompted the commission to place a Post No Debit order on the affected accounts.
It argued that allowing the transfers to continue would have undermined its statutory duty to protect public funds while investigations were still in progress.
Oyewale 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 also rejected suggestions that the timing of the action was politically motivated because of the approaching governorship election in Osun State.
It maintained that even though it was fully aware of the election timetable, its legal obligation to prevent the possible diversion of public resources took precedence over political considerations.
Oyewale said, “The Commission cannot watch idly while a state government’s account is being pillaged.”
He added that allowing the transfers to continue simply because of an election would amount to neglect of its statutory responsibilities.
The agency further disclosed that Osun is not the only state under scrutiny, that is, financial activities in several other states are also being examined as part of broader efforts to ensure accountability in the management of public funds.
While it has not identified the other states yet, the EFCC insisted that its operations are not directed at any political party or region but are guided by its legal mandate.
The commission also urged members of the public to disregard false narratives surrounding the account freeze, and that the action was taken solely to safeguard state resources pending the outcome of its investigation.
This disclosure offers the clearest explanation yet for the restriction placed on the Osun State Government’s accounts, a move that has generated political controversy in the state. The EFCC, however, did not indicate when the investigation would be concluded or whether criminal charges would be filed against any official once its inquiries are completed.
