Yesterday, I teamed up with my friend Sesugh Akume to take the Central Bank of Nigeria and its governor, Godwin Emefiele to court.
The court, because it is the last hope of the common man.
It is manifestly obvious that the bad policies of the CBN under Mr Emefiele has led to high inflation, a weakened naira, a poor exchange rate, instability in the economy, etc, and this is not just as a result of the unstable price of crude oil in the global market as many like to deceive the unsuspecting public.
All these the apex institution has done while breaking the law. As declared in our court filings, the CBN under Mr Emefiele has been engaged in the illegality of lending to the federal government more than the prescribed 5% of the government’s revenues of the previous year. In 2020, for instance, the Bank lent the government 2.8 trillion naira which is 62% of 2019 revenues!
Worse, the Bank further lends to the federal government even when it is yet to refund what was previously borrowed (presently, the federal government owes the CBN 15.51 trillion naira, 14.86 trillion of this under the Buhari regime) contrary to the express provisions of section 38 of the CBN Act.
Our demand, far from being radical, is pretty simple and commonsensical:
We ask the court to weigh what we have presented before it — what we believe to be some incontrovertible evidence backed with research and data — and come to the inevitable conclusion that Mr Emefiele and the CBN are grossly incompetent; to stop them from further lending to the government under ways and means — which will adversely affect unborn generations — until the trillions of naira owed are refunded in full, and to never lend beyond the prescribed 5% of the previous year’s revenues. We believe that this provision was added in the CBN Act for a germane reason.
Like Sesugh said in his press statement, this is possibly a novel lawsuit asking the court to declare a public institution/officer incompetent based on the evidence before it, and establish that public institutions/officers can be held liable/accountable for their failures, especially as they affect the public negatively.
A date has not yet been fixed for the hearing.