The Economic and Financial Crimes Commission (EFCC) has explained that it froze the bank accounts of the Osun State government to prevent the fraudulent transfer of federal allocations amounting to N11 billion. In a press release on August 5, 2026, the anti-graft agency said the move was a preventive measure to safeguard public funds amid an ongoing investigation into the state's handling of Ecology Funds, Intervention Funds, and Federal Account Allocation Committee (FAAC) receipts.
EFCC's Preventive Action
The EFCC disclosed that it placed a "post no debit" order on the accounts operated by the Osun State government after observing suspicious movements of funds. According to the commission, since August 2, 2026, there have been huge transfers of money into different corporate entities, prompting the need to halt the trend swiftly.
"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 stated in a release shared on its X page.
Investigation Details
The EFCC revealed that it has been investigating the Osun State government since March 2026 regarding alleged fraudulent handling of funds totaling N11,000,000,000 (Eleven Billion Naira only). As part of the investigation, some state officials, including the State's Accountant General, have been interviewed by EFCC investigators.
The commission emphasized that the freezing of the accounts was not politically motivated, despite the upcoming governorship election in Osun State. "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 statement read.
Governor Adeleke's Response
Osun State Governor Ademola Adeleke, however, described the freezing of the state's accounts as politically motivated. During a press conference on August 5, 2026, Adeleke revealed that the EFCC froze the account without a court order. "This morning, we received a letter informing us that the Osun State Government's account had been frozen. This action was taken without any court order. They should explain why they froze our account," Adeleke said.
The governor, who is the flagbearer of the Accord Party for the 2026 gubernatorial election, vowed that his party would resist all forms of oppression. He added that the illegality happening in Osun State is turning democracy into a huge joke.
EFCC's Broader Investigations
The EFCC also noted that it is keeping watch over the finances of other states, many of which are on its investigative radar to ensure accountability and probity. The commission reiterated its non-partisan stance, stating that it is always working in the overall interests of Nigerians.
"The public is enjoined to ignore false narratives and deliberate demonization of the works of the EFCC. The interests of all Nigerians are greater and will always be protected by the Commission," the statement concluded.
