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FG’s deduction from Federation Account illegal – Court



A Federal High Court presided by Justice Ahmed Mohammed in Abuja has declared federal government’s deducting funds directly from Federation Account to fund the Nigeria Police Force (NPF) illegal.

  Justice Mohammed gave the order yesterday while reading his judgement in a suit filed by Rivers State Government against Attorney General of the Federation (AGF), Accountant General of the Federation, Auditor General of the Federation and Minister of Finance.

  Issuing an order restraining federal government from making further deduction from the income stream, Justice Mohammed explained the policy violates section 4(1)(a) & (b) of Police Trust Fund (PTF) Act, 2019.

  According to Justice Mohammed, the illegality in making such deductions stems from the provisions of Section 4(1)(a) & (b) of the PTF Act 2019 is contrary to section 162(1) & (3) of Constitution of Federal Republic of Nigeria, 1999, which requires payment of total revenue collected by federal government, including levies and taxes, into the Federation Account for sharing among the three tiers of government.

Therefore, Justice Mohammed ordered federal government to refund Rivers State Government with all its share of the funds that were wrongly deducted from Federation Account.

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