SDP Accuses Governor Aiyedatiwa of Diverting LG Funds, APC Fires Back with Denial

A fresh political storm is brewing in Ondo State as the opposition Social Democratic Party (SDP) has accused Governor Lucky Aiyedatiwa of withholding and diverting federal allocations intended for local governments. The ruling All Progressives Congress (APC) has, however, categorically denied the claims, branding them as baseless and an attempt to mislead the public.

 SDP Raises Alarm Over Withheld Grassroots Funds

In a strongly worded statement over the weekend, the SDP alleged that federal allocations meant for the 18 local government areas in Ondo State have been unlawfully diverted by the Aiyedatiwa administration. The party claimed this move violates the spirit of fiscal federalism and the constitutional autonomy granted to local government councils.

State Chairman of the SDP, Gbenga Akinbuli, stated that the practice of withholding these funds undermines development at the grassroots, depriving communities of critical infrastructure and services. “It is unconscionable that funds intended for grassroots development and service delivery are being siphoned off,” he said.

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Akinbuli added that the diversion of funds erodes public trust and perpetuates underdevelopment in rural communities. He called on the state government to cease what he described as “unlawful collection” of local government funds and to adopt greater transparency in its financial dealings.

He urged the state to allow local governments full control over their allocations, noting, “The people deserve better governance. It’s time for the state government to prioritise their needs.”

APC Counters: Allegations Are Politically Motivated

In swift rebuttal, the APC dismissed the allegations as “blatant lies” designed to stir unnecessary controversy. Speaking in Akure, the party’s Director of Media and Publicity, Mr. Steve Otaloro, described the SDP’s claims as “sensationalist tactics” meant to mask the party’s internal crises.

According to Otaloro, Governor Aiyedatiwa has remained committed to grassroots governance and has never interfered with local council funds. He explained that the administration has kept councils operational despite the absence of local government elections—an approach, he said, aimed at preventing governance gaps and ensuring continuity.

“It is apparent that Akinbuli is more concerned with generating headlines than addressing the real issues within his party,” Otaloro said. He also took aim at the SDP’s leadership, alleging it was riddled with “corruption and disarray.”

The APC defended Aiyedatiwa’s policies, stating that the administration’s “Our Ease” initiative is being implemented successfully across local councils through the diligent work of local government leaders.

“The local government chairmen are in the best position to speak on developments within their jurisdictions, not an opposition leader with little knowledge of their operations,” Otaloro added.

Governor Aiyedatiwa’s Past Assurances on Local Government Autonomy

Governor Aiyedatiwa had previously addressed the issue during a visit to the palace of the Yangede of Epe in Ondo East. At the time, he firmly stated that his administration does not tamper with funds allocated to local governments.

“My administration is not touching the allocations going to the local governments. What belongs to them is going to them,” Aiyedatiwa told traditional leaders and stakeholders. He also emphasized that the empowerment of local councils is part of his broader strategy to strengthen participatory governance in the state.

This reiteration of non-interference has become central to the APC’s defense amid the latest allegations, as the party insists there’s no evidence suggesting a breach in fund disbursement practices.

Political Undertones Ahead of 2025 Gubernatorial Race

The ongoing back-and-forth appears to be part of a larger political strategy by opposition forces ahead of the 2025 Ondo State gubernatorial election. Analysts believe that the SDP’s allegations, whether substantiated or not, are aimed at denting the image of the governor as he positions for a second term.

The APC, aware of this political backdrop, is aggressively defending Aiyedatiwa’s record, positioning him as a governor who respects democratic norms and has upheld financial integrity.

Conclusion: Transparency at the Core of the Debate

At the heart of the controversy is the perennial issue of transparency in the management of federal allocations to local governments. The SDP is demanding that funds be disbursed directly and managed independently by councils, while the APC insists that existing processes under Governor Aiyedatiwa are both legal and accountable.

As the political temperature in Ondo rises, all eyes will be on how both parties continue to shape the narrative—and whether independent audits or public forums will shed more light on the veracity of the allegations.