Court stops EFCC probe of Oyo finances, says investigation speculative

By Adeola Badru

IBADAN — A Federal High Court sitting in Ibadan has restrained the Economic and Financial Crimes Commission (EFCC) from proceeding with its proposed investigation into the finances of the Oyo State Government, describing the exercise as speculative and a fishing expedition.

In a judgment delivered on Wednesday in suit FHC/IB/CS/61/2025, Justice Nkeonye Maha held that although the EFCC has statutory powers to investigate financial crimes and related offences, such powers must be exercised within the limits of the Constitution and the rule of law.

The court ruled that the Commission’s planned investigation into the state’s finances, particularly the demands contained in its letter dated June 2, 2025, lacked specific allegations and could not be sustained under the law.

Justice Maha held that “the EFCC’s proposed investigation into Oyo State’s finances, particularly the demands contained in its letter of June 2, 2025, was speculative and amounted to a fishing expedition.”

The judge further ruled that the constitutional rights of the plaintiffs to fair hearing could not be violated under the guise of investigation.

The Oyo State Government had approached the court after receiving a letter from the EFCC addressed to the state’s Accountant-General, requesting copies of all contracts executed by the government and details of transactions and payments made to contractors from 2021 to the date of the letter.

According to the state government, it subsequently requested that the anti-graft agency identify the specific contractors or companies under investigation to enable it provide relevant documents.

Following the EFCC’s failure to respond, the government sought judicial intervention.

The plaintiffs — the Governor of Oyo State, the Attorney-General of the state and the Accountant-General — argued through their counsel, led by Attorney-General Abiodun Aikomo, that the EFCC’s request covering several years was excessive, burdensome and unreasonable.

They contended that the Commission’s investigative powers were subject to constitutional limitations and could not justify broad inquiries without specific allegations of wrongdoing.

The plaintiffs also argued that EFCC investigations must be based on credible evidence and identifiable offences rather than general searches for possible infractions.

However, counsel to the EFCC, I.G. Ojibor, who led S. Adamu, relied on Section 38 of the EFCC (Establishment) Act, 2004, arguing that the provision empowers the Commission to demand information from individuals, authorities, corporations and companies in the course of investigations.

The EFCC had maintained that the provision authorised it to conduct a broad investigation into the state’s finances.

But Justice Maha ruled in favour of the Oyo State Government, setting aside the EFCC’s letter of June 2, 2025.

The court held that any request for information by the Commission must be reasonable and connected to specific allegations of offences.

“Section 38 of the EFCC Act empowers the Commission to demand information only for the investigation of offences under the Act, not for speculative or roving inquiries,” the judge ruled.

The court consequently restrained the EFCC from proceeding with the proposed investigation based on the disputed letter, stressing that the Commission’s powers could not be exercised through indiscriminate requests unsupported by specific allegations of wrongdoing.