HOW FORMER LAGOS LG CHAIRPERSON WHO RECEIVED 512MILLION ALLOCATION 3 DAYS BEFORE LEAVING OFFICE DIVERTED THE MONEY TO PERSONAL USE, LEFT ONLY 20 MIL

A former chairperson of a Local Council Development Area (LCDA) in Lagos State has been accused of spending about ₦492 million within 72 hours, leaving only ₦20 million in the council’s account — just three days before her tenure ended.

The allegation was detailed in a report cited by Lanre Adewole, a senior editor with Tribune Newspapers, in his column published on Sunday.

According to Adewole, the report — which was submitted to the Speaker of the Lagos State House of Assembly, Rt. Hon. Mudashiru Obasa — formed part of discussions during a recent meeting between the legislators and council chairpersons in the state.

The report alleged that the former LCDA boss received ₦512 million as federal allocation for her final month in office and expended almost the entire amount before handing over.

“It was three days to her exit. By the time the new man took over, ₦492 million had disappeared,” Adewole wrote.
“She spent ₦492 million in 72 hours, leaving behind a paltry ₦20 million for her successor.”

The report also claimed that seven councillors who served with the former chairperson received ₦1 million each, while supervisory councillors were allegedly given “parting gifts” running into millions of naira.

Between January and July 2025, the LCDA was said to have received a total of ₦4.8 billion in allocations.

In addition, the report linked the ex-chairperson to the ownership of a multi-million-naira hotel in Osogbo, Osun State, and a property in Magodo GRA Phase 2, Lagos, both of which are reportedly under scrutiny.

Quoting excerpts from the submission to the Speaker, Adewole wrote that the document described a “disturbing pattern” of alleged looting among some immediate past and newly elected local government chairmen in Lagos State.

“The brazen mismanagement of public funds by immediate past and newly elected Local Government chairmen in Lagos State is unparalleled by any Local Government in Nigeria,” the report stated.
“There is a formula ratio of 30% to the management staff from payment made from the LG accounts — tagged as ‘RUN’ — plus another 5% for retirement.”

The document further alleged that some senior council officials pay between ₦5 million and ₦20 million to secure postings, while also remitting monthly premiums of about ₦2.5 million to maintain their positions.

The report also mentioned that one former chairman allegedly diverted over ₦2 billion into private property development, while another reportedly embarked on lavish foreign trips to London, Saudi Arabia, and Dubai “under the guise of official duties.”

It added that despite warnings from Speaker Obasa, some immediate past council chairmen allegedly continue to control council accounts and award contracts to themselves through proxy arrangements.

The document called on Governor Babajide Sanwo-Olu to order a full forensic audit of all local councils and LCDAs, recover misappropriated funds, and sanction any indicted officials.

“Lagosians demand accountability, not luxury junkets funded by their sweat,” the report stated.
“Failure to address this crisis risks normalizing corruption and crippling local governance.”

Officials of the Lagos State Government were yet to respond to the allegations as of press time.