The Socio-Economic Rights and Accountability Project (SERAP) on Sunday called on the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, to account for N100 billion worth of dirty and bad notes and other significant sums of cash awaiting examination, which are reportedly kept in various branches of the apex bank.
In a statement issued by its Deputy Director, Kolawole Oluwadare, SERAP cited allegations documented in the latest annual report published by the Auditor-General of the Federation. SERAP also urged Governor Cardoso to explain the whereabouts of N7.2 billion budgeted for constructing the CBN Dutse branch in 2010 and N4.8 billion for renovating the CBN Abeokuta branch in 2009. Additionally, SERAP demanded the publication of the names of contractors who collected these funds but failed to complete the projects.
Furthermore, SERAP requested clarification on the outstanding loan of N1.2 billion granted to the Enugu State government in 2015 and the N1.9 billion loan granted to the Anambra State government between 2015 and 2016. The organization called for the full recovery and remittance of these public funds to the treasury.
“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 stated. “These grave violations also reflect a failure of CBN accountability more generally and are directly linked to the institution’s persistent failure to comply with its Act and to uphold the principles of transparency and accountability.”
SERAP emphasized that these alleged violations seriously undermine the CBN’s ability to effectively discharge its statutory functions and erode public trust and confidence in the bank. The organization stressed the importance of transparency and accountability in CBN operations.
The letter from SERAP included: “Explaining the whereabouts of the missing public funds, publishing the names of those suspected to be responsible and ensuring that they are brought to justice and the full recovery of any missing public funds would serve the public interest and end the impunity of perpetrators.”
According to the recently published 2020 audited report by the Auditor-General of the Federation (AGF), the CBN has, since 2017, been keeping over N100 billion in ‘dirty and bad notes’ and other large sums of cash awaiting examination in various branches of the CBN. The Auditor-General expressed concerns that these notes, initially planned for destruction, may have been diverted and re-injected into the economy.
The report also highlighted that in August 2010, the CBN budgeted N7.2 billion for constructing the Dutse branch building, which was due for completion in November 2012, but remains incomplete. Similarly, in 2009, the CBN budgeted N4.8 billion for renovating the Abeokuta branch, which was also not completed as scheduled.
Moreover, the CBN reportedly failed to account for a missing outstanding loan of N1.2 billion granted to the Enugu State government in 2015 and an outstanding loan of N1.9 billion granted to the Anambra State government between 2015 and 2016.
SERAP’s call for accountability and transparency aims to ensure that the CBN addresses these serious allegations and restores public confidence in its operations.
