The instruction came from an official document sent by Aiyedatiwa, the acting governor who took over as governor a few days ago after months of hostility between him and supporters of his boss, Governor Oluwarotimi Akeredolu.
The acting governor also instructed the recently established LCDAs not to open new accounts in the memo.
Distinguished HOLGAs, the memo issued to the heads of local government administrations said: The Acting Governor of Ondo State, Your Excellency, has issued an order suspending all spending and expenditure from local government accounts.
Until further instruction is given, there should be no check signing, no change of signatories, and no withdrawal of any kind.
"Please follow directions to the letter and follow your guidance."
The caretaker chairmen of the local council, who were appointed and sworn in prior to Aiyedatiwa's debut as acting governor, have conveyed concerns that they would be removed.
One of the local council chairs, who verified the development under anonymity, claims that Aiyedatiwa's action has caused fear among his colleagues.