FRC is the body whose law led to the retirement of Pastor Enoch Adejare Adeboye as General Overseer of Nigerian arm of the Redeemed Christian Church of God (RCCG).
Reacting, CAN General Secretary, Rev. Musa Asake said the sack of Obazee by President Muhammadu Buhari was divine.
He said God used authorities to punish the official for daring to interfere in the work of the church.
"The sack of Jim (Obazee) is good riddance to bad rubbish. Anybody that wants to fight the church will find himself where he does not want," he told The Nation.
"Jim got to the position by the grace of God, but set out to probe and destroy the church of God. I spoke with him several times on this issue but he wouldn't listen.
"He was going to take the church to what is worse than Armageddon. Thank God the authorities have stepped in to right the wrong.
"He should have been fired a long time ago and we don't know why he was left alone, but God's time is always the best.
"That code should be thrown out completely because government should not interfere with the church.
"The church is a no-go zone for the government. Doing that has serious implications. If they attempt it, it will lead to confusion in the nation", he added.
Similarly, Senior Pastor, Living Spring Chapel International, Lagos, Pastor Femi Emmanuel, has condemned the controversial law.
He said the sack "is a right step in the right direction. Government has no business meddling in the internal structure and governance of the church.
"There is no government in the world that does that. Anyone who does that is incurring the wrath of God. Yes, there could be financial regulation of churches but never in the internal structure of the church.
"Everything that has to do with the internal structure and governance of the church must be expunged from the code."
Obazee, a former pastor of the RCCG, had said only 89 of the 23,216 registered churches in the country had complied with FRC provisions.
Meanwhile, the leadership of CAN is set to hold an emergency meeting on the FRC code and other related matters.
CAN President Rev. Samson Ayokunle said the organisation's lawyers would review the issues and make their position known to the public.