EFCC says Osun Bank accounts were frozen to prevent fraudulent transfer of federal allocations

• EFFC admits to freezing the accounts of the Osun State government to stop the suspicious diversion of funds.

• The commission revealed that it has an ongoing investigation into the state's use of public funds.

• EFCC also stated it's investigating other States for suspicious mismanagement of funds.

In a press release shared on August 5, 2026, the EFCC claimed that the commission was forced to place a "post no debit" order on the accounts operated by the Osun State government after observing suspicious movement of funds amidst ongoing investigations into the administration of Ecology Funds, Intervention Funds and Federal Account Allocation Committee, FAAC account to the tune of N11, 000,000, 000 (Eleven Billion Naira only).

In the statement shared on the Commission's X page, the EFCC, during the course of the investigation, has interviewed some state officials, including the State's Accountant General. The statement further revealed that the decision to freeze the Osun State bank accounts was a preventive move to safeguard the sanctity of the ongoing investigations.

"The Economic and Financial Crimes Commission,  EFCC,  is compelled to publicly address issues pertaining to its preventive moves in freezing the bank account of the Osun State government, without prejudice to the imminent governorship election in the state.

 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,  FAAC account to the tune of N11, 000,000, 000(Eleven Billion Naira only).  To this end,  some officials of the state government, especially the Accountant General of the State, have had interview sessions with investigators of the EFCC.

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 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’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.  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.  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.

It is equally needful to state that the Commission is keeping watch over the finances of other states like Osun State.  Many of these states are on the investigative radar of the Commission to ensure accountability and probity.   The Commission has always pointed out that it is non-partisan and non-sectarian but always working in the overall interests of Nigerians.  The Osun State government account was frozen to save public funds from being looted.

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."

EFCC's reply follows the revelation by Osun State Governor Ademola Adeleke, who during a press conference on August 5, 2026, revealed that the EFCC froze the state's account without a court order.

In a post on his official account, Adeleke stated that the decision to freeze the account is politically motivated and vowed that the Accord Party, whom he's a flagbearer for the 2026 gubernatorial election, will resist all forms of oppression.