SERAP sues CBN over $6.23m election funds, N1.63tn audit queries

The Socio-Economic Rights and Accountability Project has sued the Central Bank of Nigeria over its alleged failure to account for $6.23m in election funds and more than N1.63tn in other public funds flagged in the 2023 report of the Auditor-General of the Federation.

SERAP is asking the Federal High Court in Abuja to compel the apex bank to account for the funds, disclose the beneficiaries of the affected transactions and reveal measures taken to investigate the alleged irregularities and recover outstanding amounts.

The suit, marked FHC/ABJ/CS/2450/2026, was filed on Friday following allegations contained in Volume II of the Auditor-General’s 2023 Annual Report, published on August 7, 2026.

The report identified concerns involving $6.23m allegedly spent on an election-funding request purportedly made by former President Muhammadu Buhari, N1.25tn in unrecovered intervention loans to state governments, N116.18bn in loans to distressed and liquidated banks, and N262.86bn disbursed under the Anchor Borrowers’ Programme.

In its suit, filed by its lawyers, Kolawole Oluwadare, Kehinde Oyewumi, Andrew Nwankwo and Kelechi Anwu, SERAP is seeking an order of mandamus compelling the CBN to account for the funds and disclose the purposes for which they were disbursed, their beneficiaries, repayment status and recovery measures.

The organisation is also seeking an order directing the bank to disclose the findings of its internal investigation into the alleged election-funding fraud and identify the officials and other persons who approved and disbursed the funds, as well as any disciplinary or administrative action taken against them.

SERAP further wants the court to compel the CBN to provide records relating to seven boxes of currency notes awaiting examination, abandoned and unserviceable vehicles at its Lagos branch, and a bullion van at its Abeokuta branch.

The organisation stated that the allegations raised serious concerns about the management of public resources and the CBN’s compliance with constitutional and statutory accountability requirements.

“The accountability of public institutions, including the CBN, is a crucial pillar of Nigeria’s constitutional democracy,” SERAP said.

It added that the findings of the Auditor-General suggested possible violations of the 1999 Constitution, the CBN Act, anti-corruption laws and Nigeria’s obligations under the United Nations Convention against Corruption.

According to the organisation, the CBN’s institutional independence does not exempt it from financial audits, statutory accounting requirements, public oversight or investigations into credible allegations of fraud.

“The CBN has legal obligations to account for each amount identified by the Auditor-General, explain the basis for each transaction, identify the persons or entities that received or benefited from the funds, and disclose measures taken to investigate, reconcile and recover any amount found to have been improperly paid or lost,” the suit stated.

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On the alleged $6.23m election-funding fraud, SERAP cited the Auditor-General’s finding that the CBN failed to investigate an alleged fraud at its Abuja branch involving $6,230,000.

According to the report, the bank’s internal audit indicated that the money was spent following a request for election funding purportedly made by Buhari.

The Auditor-General reportedly said the CBN failed to provide its investigation report for scrutiny and confirmation, raising concerns that the money might have been lost through fraudulent payments.

The audit report recommended that the funds be recovered and remitted to the treasury.

The report also raised concerns over N1.25tn in intervention loans granted to state governments, warning that the funds might have been diverted to private purposes. It recommended their recovery and remittance to the treasury.

Regarding loans to distressed and liquidated banks, the Auditor-General reportedly faulted the CBN for failing to recover N116.18bn and provide audited or draft financial statements, alongside schedules of recoveries and outstanding balances, for examination.

The report further identified concerns over N262.86bn spent under the Anchor Borrowers’ Programme, which was designed to support farmers and boost food production.

According to the Auditor-General, the CBN failed to provide a list of beneficiaries and an assessment of the programme’s impact. The report also raised concerns that funds remained with some programme anchors and might have been diverted to private purposes.

SERAP added that the alleged lapses raised questions about transparency, the safeguarding of public funds and the effectiveness of mechanisms for recovering government resources.

It said identifying those responsible, ensuring accountability and recovering any funds found to have been improperly disbursed would serve the public interest and help tackle impunity in the management of public resources.