An Osun State High Court sitting in Osogbo has granted the United Bank for Africa (UBA) permission to challenge and quash criminal proceedings instituted against it at a Magistrate Court in the state capital. The ruling is the latest development in the ongoing local government crisis that has generated tension across the state.
The decision was delivered on Friday by Justice M. O. Agboola, who granted the bank leave following a motion filed ex-parte. The case is marked Suit No. HOS/M4/2026.
According to a statement made available to journalists, the High Court granted UBA permission to seek an order quashing the criminal proceedings pending before a Magistrate Court in Osogbo. The bank had approached the High Court, arguing that the Magistrate Court lacked the legal power to entertain the matter brought before it.
The statement further revealed that despite being aware of the High Court’s decision earlier on the same day, the Chief Magistrate handling the matter, Mr A. Adeyeba, who is also listed as a respondent in the suit, reportedly issued a bench warrant against some officials of UBA.
A bench warrant is a court order authorising the arrest of individuals who fail to appear before a court or are accused of disobeying court directives. The reported issuance of the warrant has raised concerns among legal practitioners and observers, who say it could worsen the already tense situation.
The case against UBA is linked to the wider local government crisis in Osun State, which has been ongoing for several months. The crisis centres on disagreements over the control and administration of local government councils, particularly regarding finances and the operation of council accounts.
At the heart of the dispute are allegations and counter-allegations involving local government funds and the role of commercial banks in managing council accounts. Some local government officials have accused banks of acting on instructions that they believe are unlawful, while the banks insist they are simply following valid directives from recognised authorities.
UBA, one of Nigeria’s largest commercial banks, has maintained that it acted within the law in its dealings with local government accounts in Osun State. The bank argues that it cannot be criminally liable for carrying out banking instructions backed by lawful authority.
The decision by the High Court to grant UBA leave to challenge the Magistrate Court proceedings is seen by many as an important intervention. Analysts say it underscores the role of higher courts in checking possible excesses or errors by lower courts.
Reacting to the development, the Chairman of the Osun State chapter of the Association of Local Government of Nigeria (ALGON), Mr Samuel Abiodun, welcomed the ruling. He described it as a victory for the rule of law and constitutional order.
According to Abiodun, the High Court’s action shows that legal disputes should be resolved through proper judicial channels rather than through actions that may escalate tension or create fear.
He called on residents of the state to remain calm and law-abiding while the matter is resolved in court. He also urged all parties involved in the crisis to respect court orders and allow the legal process to take its full course.
“This decision affirms the supremacy of the rule of law,” Abiodun said. “We advise members of the public to stay calm and obey the law while this illegality is being lawfully challenged in court.”
The Osun local government crisis has drawn national attention due to its impact on governance at the grassroots level. Local governments are the closest tier of government to the people and are responsible for basic services such as primary education, healthcare, and rural development.
Disruptions in local government administration often affect salary payments, service delivery, and development projects. In Osun, the crisis has reportedly led to confusion over who controls council funds and how decisions should be made.
Over the years, disputes involving local government autonomy have been common in Nigeria. Many councils complain of interference by state governments, especially in financial matters. This has led to frequent court cases as councils seek to assert their independence as guaranteed by the constitution.
Banks often find themselves caught in the middle of these disputes, as they are required to manage public funds while also obeying lawful instructions. Legal experts say banks must carefully balance their duty to customers with their obligation to comply with court orders and government directives.
The latest ruling is expected to shape the next phase of the legal battle. With the leave granted, UBA can now formally ask the High Court to quash the Magistrate Court proceedings. Until the substantive case is heard and decided, questions remain over the validity of the bench warrant reportedly issued against the bank’s officials.
As the case continues, stakeholders are watching closely to see how the courts will resolve the matter and what it will mean for the wider local government crisis in Osun State.