The Economic and Financial Crimes Commission (EFCC) has explained that it froze the Osun State Government’s bank account after detecting what it described as unusually large transfers to suspicious corporate accounts.
The anti-graft agency said the action was unrelated to the August 15 governorship election and formed part of an investigation into the alleged fraudulent management of about ₦11bn in public funds.
The EFCC Head of Media and Publicity, Dele Oyewale, disclosed this in a statement issued on Wednesday titled, “Why EFCC Froze Osun State Government Account.”
According to the commission, it has been investigating the Osun State Government since March 2026 over the handling of Ecology Funds, Intervention Funds and allocations received through the Federation Account Allocation Committee.
“The Commission has been busy investigating the Osun State Government since March 2026 regarding alleged fraudulent handling of Ecology Funds, Intervention Funds and Federal Account Allocation Committee account to the tune of ₦11bn,” the statement read.
The EFCC said some officials of the state government, including the Accountant-General, had appeared before investigators for questioning.
The allegations remain under investigation and have not been proved in court.
The commission said the ongoing probe would not ordinarily have resulted in a Post No Debit restriction on the state’s account.
It, however, alleged that funds began moving rapidly from the accounts to suspicious destinations from August 2.
“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,” the EFCC said.
It added that investigators observed substantial transfers into different corporate entities and moved to stop further transactions.
“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 statement added.
The commission rejected claims that the action was politically motivated or intended to disrupt the state government ahead of the election.
It said its preventive mandate required it to protect public funds and assets from possible diversion.
“The Commission cannot watch idly while a state government’s account is being pillaged,” the EFCC said.
“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 agency argued that the forthcoming election could not be used as a reason for it to suspend its statutory responsibilities.
“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 statement read.
The EFCC said Osun was not the only state whose finances were being examined.
According to the commission, several states were on its investigative radar as part of efforts to promote accountability and prevent misuse of public resources.
“It is equally needful to state that the Commission is keeping watch over the finances of other states like Osun State,” it said.
“Many of these states are on the investigative radar of the Commission to ensure accountability and probity.”
The anti-graft agency maintained that it was non-partisan and acted in the overall interest of Nigerians.
“The Osun State Government account was frozen to save public funds from being looted,” it added.
The commission urged the public to disregard what it described as false narratives and attempts to portray its action as partisan.
