The Central Bank of Nigeria, CBN, weekend, challenged a suit by Social Rehabilitation Grace and Supportive Initiative, SRG, over redesigned naira notes, before a Federal High Court, sitting in Akure, Ondo State, contending that the move was to save Nigeria’s democracy by checking vote-buying, during the presidential election.
The plaintiffs in the suit are asking the court to compel the apex bank to extend the expiration date for the old Naira notes.
CBN, in its counter-affidavit through its counsel, O. M. Atoyebi, opposed SRG’s prayer for an interlocutory injunction because “The extension of the expiry date for the old naira notes of N200, N500 and N1000, will give room for vote-buying and undermine the forthcoming election.”
The CBN averred that “The extension of the timeliness will jeopardise the fight against fraud, corruption and criminal activities perpetrated with the use of the old currencies.”
It specifically cited the festering kidnapping crime, claiming a change in currency notes will end it.
The plaintiffs, who are SRG led by Dr Marindoti Oludare, Omoyele Ishola and Demola Obadofin, through their counsel, L.E Ukpabi, are contending that the CBN acted beyond its powers by setting timelines for the expiration of the old Naira notes.
They argued that “While we know of a fact that the CBN has the right to denominate the Naira, it has no right to erase the value acquired by individuals.”
According to them, the CBN had failed to also provide a means whereby Nigerians resident abroad could exchange their old notes.
They averred that setting a hurried expiry date for the old naira notes at a time Nigeria was preparing for a major election smacked of mischief and could derail a smooth transition from one government to another.
They are also seeking, among others, an interim injunction restraining “the respondent and her privies, agents, or servants from enforcing the deadline date of February 10, 2023, or any other short date wherein the old N200, N500, and N1000 currency notes cease to be legal tender, pending the hearing and determination of the motion on notice.”
The applicants also add that the court should give “An order compelling the respondent to extend the submission of old N200, N500 and N2000 currency notes, by a minimum of six months before same are finally called in and cease to be a legal tender, pending the hearing and determination of the motion on notice.”
