The state’s commissioner for information Paulinus Nsirim said in a statement that the local government chairman Victor Ihunwo was suspended for “illegal tax collection”.

Although Nsirim did not say from whom Ihunwo allegedly collected the “illegal tax”, he, however, advised traders at Ogbum-nu-Abali fruit garden market to stop all dealings with anyone who claims to be acting on behalf of Ihunwo.

The chairman of Abua and Degema local government were earlier suspended by the state governor.

Nsirim said the heads of personnel management, heads of local government administration and treasurers of Abua and Degema local government have also been suspended for having official transactions with the suspended chairmen.

“The Government has also removed Joint Account Allocation Committee (JAAC) Accounts from all Banks that gave loans to some removed Local government councils without the State’s authorization.

“The Attorney-General and Commissioner for Justice has been authorized to institute legal actions against defaulting banks” Nsirim said.

He said the governor has directed the Permanent Secretary, Local Government Service Commission to post new officers to replace suspended officers immediately.