The Socio-Economic Rights and Accountability Project (SERAP) has called on Mr. Olayemi Cardoso, the Governor of the Central Bank of Nigeria (CBN), to provide a detailed account of over N100 billion in “dirty and bad notes” and other large sums of cash awaiting examination reportedly held in various CBN branches.
These allegations were highlighted in the latest annual report published by the Auditor-General of the Federation.
SERAP has also demanded an explanation for the N7.2 billion budgeted in 2010 for constructing the CBN Dutse branch and the N4.8 billion allocated in 2009 for renovating the CBN Abeokuta branch, with contractors failing to complete both projects.
They urge the governor to disclose the names of the contractors who collected these funds without completing the work.
Additionally, SERAP is concerned about the whereabouts of an outstanding loan of N1.2 billion granted to the Enugu State government in 2015 and another loan of N1.9 billion granted to the Anambra State government between 2015 and 2016.
They insist on the full recovery and remittance of these public funds into the treasury.
In a letter dated June 29, 2024, signed by SERAP Deputy Director Kolawole Oluwadare, the organization stated: “These grim allegations by the Auditor-General suggest grave violations of public trust, the provisions of the Nigerian constitution, the CBN Act, and national and international anti-corruption obligations.”
SERAP emphasized the importance of transparency and accountability in CBN operations and urged Mr. Cardoso to refer these violations to appropriate anti-corruption agencies for investigation, prosecution, and recovery of the public funds.
They have given the CBN seven days from receipt of the letter to take the recommended actions, warning of legal measures if compliance is not met.
The allegations include:
– Over N100 billion in “dirty and bad notes” and other large sums of cash have been held since 2017, with the Auditor-General suspecting these may have been diverted back into the economy.
– N7.2 billion was budgeted in 2010 for constructing the CBN Dutse branch, which remains incomplete.
– N4.8 billion was budgeted in 2009 for renovating the CBN Abeokuta branch, which also remains incomplete.
– Missing outstanding loans of N1.2 billion to Enugu State and N1.9 billion to Anambra State, with fears of fund diversion.
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SERAP stressed that these issues reflect broader failures in CBN accountability and a persistent lack of compliance with its own Act.
The organization pointed out that these failures undermine the CBN’s ability to effectively discharge its statutory functions and erode public trust.
The Nigerian constitution and various laws, including the Financial Regulations 2009 and the Public Procurement Act 2007, provide clear guidelines for managing public funds and preventing corruption. SERAP calls for strict adherence to these regulations and for the CBN to ensure transparency and accountability in its operations.
By taking these measures, the CBN can restore public confidence, ensure justice, and prevent future occurrences of such violations.
