CONSTITUTIONAL LAW ā Federation Account ā Federal Government Holds Revenue as Trustee for States with Duty to Render Account
Principle Statement
It is the duty of a trustee to keep a proper account of the trust he administers. The beneficiary has a right to call upon the trustee for accurate information. The Federal Government must render accurate and regular account to the beneficiaries of all monies paid into the Federation Account when requested.
Ratio Decidendi (Source)
Per Edozie, JSC, in A.G., Cross River State v. A.G., Federation & Anor (2005) NLC-123-124-1999(SC) at p. 26; Paras CāD.
"It is settled that it is the duty of a trustee to keep a proper account of the trust he administers. And the beneficiary has a right to call upon the trustee for accurate information as to the state of the trust. Consequently, it is imperative for the Federal Government to render accurate and regular account to the beneficiaries of all monies paid into the Federation Account when requested to do so."
Explanation / Scope
The Federal Government holds Federation Account revenue as trustee for states and must render accounts. The principle applies to constitutional law.
