EFCC breaks silence on freezing Osun State Government account, reveals N11bn fraud probe

The Economic and Financial Crimes Commission has confirmed that it froze the Osun State Government bank account as part of an ongoing investigation into alleged fraudulent handling of public funds totalling N11 billion.

EFCC Head of Media and Publicity, Dele Oyewale, issued a statement on the development, saying the Commission was compelled to publicly address issues pertaining to its preventive moves without prejudice to the imminent governorship election in the state.

What the EFCC is saying

The EFCC said it has been investigating the Osun State Government since March 2026 over alleged fraudulent handling of Ecology Funds, Intervention Funds and the Federal Account Allocation Committee, FAAC account, to the tune of N11 billion.

According to the Commission, some officials of the state government, especially the Accountant General of the State, have had interview sessions with investigators.

Oyewale said the Post No Debit order placed on the state account was based on alleged movement of funds to suspicious accounts.

“These ongoing investigations of the state government would not have warranted any placement of Post No Debit order on its account but for the precipitate and unwarranted movement of funds from the accounts to different suspicious accounts since August 2, 2026,” he 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.”

Election and mandate

The EFCC acknowledged the impending governorship election in Osun State but insisted it would not abandon its duty.

“The Commission cannot watch idly while a state government’s account is being pillaged. While the Commission is fully aware of the impending governorship election in Osun State, it has a responsibility to act in defence of the sanctity of the funds of the state,” the statement partly read.

“It will be uncharitable for the Commission to allow an excuse of an upcoming election to fold its arms to perform its legally-assigned functions.”

The EFCC said it is keeping watch over the finances of other states, adding that many are on the investigative radar of the Commission to ensure accountability and probity.

“The Osun State Government account was frozen to save public funds from being looted,” the EFCC maintained.

The Commission said it remains non-partisan and non-sectarian, and urged Nigerians to ignore what it called deliberate demonisation of its work.

“The interests of all Nigerians are greater and will always be protected by the Commission,” the EFCC said.

For Nigerian businesses and taxpayers, the development signals that the EFCC is ready to intervene directly in state finances where it suspects abuse, even in sensitive political periods. The outcome of the Osun investigation may shape how other state governments handle public funds and FAAC allocations.