[2] The water tax issue split the Lagos elite into the pro-government camp (Kitoyi Ajasa, Dr. John Randle, Dr. Obasa, Henry Carr, Candido da Rocha, Chief Obanikoro, Chief Alli Balogun) and the anti-government group (Herbert Macaulay, J.
Some such as Dr. Obasa and Randle were initially in the anti-government camp but back pedaled after getting threats of being seditious and engaging in activities inimical to the war effort.
The government, in what can be seen as retaliating for the riots over the pipe-borne water scheme, withdrew its recognition of the Oba and suspended his stipend.
Before Herbert Macaulay's visit to London on behalf of Chief Amodu Tijani (Oluwa of Lagos) over the landmark Oluwa Land Case, the colonial government received intelligence that Macaulay planned to take the Oba's Staff of Office with him but the Staff was nowhere to be found.
With the Accra rendezvous, Macaulay prevented the colonial government from getting in the way of his possession of the Oba's Staff of Office.
Macaulay want further stating that the Eleko was “The chief negro" in possession of 3 times the size of Great Britain.
Eleko, in turn, issued a press release denying Macaulay's statement but the government was not satisfied.
Tensions persisted, eventually manifesting with a colonial government ordinance deposing and removing the Oba to Oyo on August 6, 1925.