Supreme Court Sh*cks 36 Governors, Throws Out Suit Over Recovered Loot

The Supreme Court has rejected a lawsuit filed by the 36 state governments and the Nigeria Governors’ Forum (NGF) challenging the federal government’s handling of recovered looted assets.

In its ruling on Friday, a seven-member panel of justices unanimously agreed that the case was wrongly brought before the Supreme Court. The lead judgment, written by Justice Chidiebere Uwa and delivered by Justice Mohammed Idris, stated that the matter falls under the jurisdiction of the Federal High Court—not the Supreme Court.

The suit, marked SC/CV/395/2021, alleged that between 2015 and 2021, the federal government recovered stolen assets worth ₦1.83 trillion, 167 properties, 450 vehicles, 300 trucks and cargoes, and about 20 million barrels of crude oil (valued at over $450 million). The plaintiffs claimed these assets were not properly remitted into the Federation Account, as required by the Constitution. Instead, they alleged, the funds were diverted into the Consolidated Revenue Account (CRA) and other unauthorized accounts.

According to the plaintiffs, the CRA is meant solely for the federal government’s earnings and not for assets recovered on behalf of the entire federation. They argued that the Constitution—particularly Sections 162(1), 162(10), and 80—requires that all such revenues be paid into the Federation Account and shared among federal, state, and local governments.

They also criticized the establishment of the Asset Recovery Account and Interim Forfeiture Recovery Account, saying they contradict constitutional provisions and allow for illegal diversions.

The plaintiffs cited various anti-corruption agencies, including the EFCC, ICPC, and the Nigeria Police, as responsible for many of the recoveries. They argued that all recovered revenues, regardless of their source, should be treated as federal income and distributed accordingly.

The states asked the court to:

• Declare that recovered assets are federal revenue and must go into the Federation Account.

• Order the remittance of ₦1.8 trillion in cash and ₦450 billion in non-cash assets recovered since 2015.

• Direct the federal government to provide a detailed account of all unremitted recovered assets.

• Compel the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) to develop a framework for sharing recovered assets among the three tiers of government.

However, the Supreme Court ruled that it lacked the proper jurisdiction to decide on the matter and dismissed the case.