Sources in the NGF said the state governors are piqued because they feel the
Presidency is deliberately withholding the money to put them further into
tight corners financially.
“Already, the governors have been holding meetings on the matter. The thinking
is that the Presidency is intentionally holding on to the funds, running into
billions of naira because it is the one controlling the agencies collecting
the money. This is causing hardship in the states, as the governors also need
such funds to implement programmes to cushion the effects of the economic
hardship in the country.
“It is not only the federal government that needs more money to implement its
programmes, the states also do. The governors are insisting that the fund be
released to enable them cope with the escalating consequences of high cost of
living in the country. We are all witnesses to the fallouts of the oil subsidy
removal, the floating of the naira and some policies of the federal government
on the people, “ the source said.
It was gathered that a Northern governor, who has been making spirited efforts
to get the fund shared, expressed anger that some aides of the President are
frustrating efforts at getting the money released.
“Even after the President has shown interest in releasing the money, some of
his aides are playing the role of fifth columnists. They want to arm twist the
governors to be given part of the money, and that it is only when such a
promise is made that they can prevail on the President to release the fund.
This is an administration which came on board with the mantra of Renewed Hope
Agenda. Such actions are giving the administration negative public image.
“Mr. President is a listening president, but for the cog some persons have
constituted themselves into, the fund would have been shared among the federal
and the state governments,” he added.
The amount to be shared is about N 3.8 trillion between the federal
government, the 36 states and agencies of government.
Details indicate that states will get the lion’s share of the money, 73
percent, FG would get 14 percent, FIRS would get four percent, while
coordinating consultants would get five percent, legal team two percent and
Banking Honours and others, two percent.
The Attorney-Generals of States and Civil Society Organisations had dragged
the FG to court to remit the funds generated through Stamp Duties into state
accounts.
However, it was gathered the governors and former President Muhammadu Buhari
reached truce and settled the matter out of court, when the former president
made a definite commitment to pay the governors the proceeds of the fund. The
case, the governors instituted was marked SC/CV/690/ 2021.
The matter bothered on whether or not the states have the sole authority to
administer and collect stamp duties on all transactions involving individuals/
persons within their respective states.
They had also asked the court to determine “whether having regard to the
provisions of Section 4(2) of the Stamp Duties Act CAPS of the Laws of the
Federation of Nigeria, read in conjunction with the provisions of Section 163,
items 58 and 59 of the Second Schedule Part 1 and items 7(a) and (bb) of the
Second Schedule part 11 and other provisions of the Constitution of the
Federal Republic of Nigeria, 1999 (as amended), the defendant (AGF) could
claim, retain,distribute or in any other manner deal with the monies or sums
collected as stamp duties on individual persons transactions within the
respective states of the plaintiffs without reference to, concurrence input or
agreement of the plaintiffs.”
The matter was, however, settled out of court and Buhari made a commitment to
pay, but that did not happen before he left office.
However, with the current economic situation in the country and governments
battling to raise funds to execute their programmes, the state governors are
also in need of more money.
A governor from the South-West, it was gathered, has been pacifying his
colleagues, promising that the President would release the fund before the end
of next month.
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