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By Philip Nwosu
The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against the Central Bank of Nigeria (CBN) over its alleged failure to account for N3 trillion in missing or diverted public funds, including over N629 billion reportedly paid to “unknown beneficiaries” under the Anchor Borrowers’ Programme.
The suit follows allegations contained in the latest annual report by the Auditor-General of the Federation, published on September 9, 2025.
In the case marked: FHC/ABJ/CS/250/2026 and filed at the Federal High Court in Abuja, SERAP is seeking an order of mandamus compelling the CBN to account for and explain the whereabouts of the N3 trillion and provide detailed reports on how the funds were spent.
In its application, SERAP argued that the allegations by the Auditor-General suggest grave violations of public trust, the provisions of the 1999 Constitution (as amended), the CBN Act, and established anti-corruption standards.
The organisation further contended that the alleged violations reflect a broader failure of accountability within the apex bank and are directly linked to its persistent failure to comply with its enabling Act and uphold transparency principles.
According to SERAP, Nigerians have a right to know how public funds are managed, insisting that granting the reliefs sought would advance citizens’ rights to restitution, compensation, and guarantees of non-repetition.
Among the allegations cited in the suit is the claim that in 2022, the CBN failed to remit over N1.44 trillion of the Federal Government’s portion of operating surplus into the Consolidated Revenue Fund. The Auditor-General reportedly expressed concern that the funds may have been diverted and recommended their recovery and remittance to the treasury.
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The report also alleged that over N629 billion disbursed under the Anchor Borrowers’ Programme to support farmers could not be properly accounted for, with the identities of beneficiaries described as unknown. The Auditor-General warned that failure to recover the funds may have contributed to food security challenges.
Additionally, the CBN was said to have failed to recover over N784 billion in 32 unpaid and overdue loans and interventions disbursed between 2018 and May 2022. The Auditor-General reportedly observed insufficient evidence of adequate recovery efforts.
The suit also referenced the alleged spending of over N125 billion on intervention activities in 2022, including for national security and financial sector capacity-building, without clear documentation or evidence of National Assembly approval.
Further allegations include the purported expenditure of over N1.79 billion on the purchase of 43 operational vehicles for the Nigeria Immigration Service without documentation showing delivery, as well as irregular contract variations amounting to over N9 billion linked to 43 contracts valued at more than N189 billion.
SERAP also cited the failure of the Katsina State branch of the CBN to recover over N90 million in outstanding loans disbursed to small and medium enterprises during the COVID-19 period.
The organisation relied on constitutional provisions, the Fiscal Responsibility Act, Financial Regulations 2009, and the Freedom of Information Act to argue that citizens are entitled to transparency and accountability in the management of public funds.
No date has yet been fixed for the hearing of the suit.
