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

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-related funds and more than N1.63tn in other public funds flagged in the Auditor-General of the Federation’s 2023 annual report.

SERAP is seeking a court order compelling the CBN to account for the funds, disclose the beneficiaries and repayment status of affected transactions, and identify officials responsible for approving and disbursing the money.

The organisation disclosed this in a statement issued on Sunday by its Deputy Director, Kolawole Oluwadare.

According to SERAP, the suit, marked FHC/ABJ/CS/2450/2026, was filed on Friday at the Federal High Court in Abuja following findings documented in Volume II of the Auditor-General’s 2023 Annual Report, published on August 7, 2026.

The funds include $6.23m linked to an allegedly fraudulent 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.

SERAP is seeking “an order of mandamus to direct and compel the CBN to account for US$6.23 million in allegedly diverted or unaccounted-for election funds and over N1.63 trillion in other public funds.”

It is also asking the court to compel the apex bank to disclose the purposes, beneficiaries, repayment status and recovery measures relating to the funds, as well as the findings of its internal investigation into the alleged election-funding fraud.

The organisation further wants the CBN to identify officials and other persons responsible for approving and disbursing the affected funds and disclose any disciplinary or administrative action taken against them.

SERAP is also seeking an order compelling the bank to disclose records concerning seven boxes of currency notes awaiting examination, unserviceable vehicles at its Lagos branch and a bullion van at its Abeokuta branch.

Explaining its position, the organisation stated, “The accountability of public institutions, including the CBN, is a crucial pillar of Nigeria’s constitutional democracy. These allegations by the Auditor-General suggest grave violations of the public trust, the provisions of the Nigerian Constitution 1999 [as amended], the CBN Act, national anti-corruption laws and Nigeria’s obligations under the UN Convention against Corruption.”

SERAP said the findings raised questions about the management of public resources, adding, “The magnitude and nature of these findings raise fundamental questions about the custody, expenditure, accounting, safeguarding and recovery of public resources.”

The suit, filed by SERAP’s lawyers, Kolawole Oluwadare, Kehinde Oyewumi, Andrew Nwankwo and Kelechi Anwu, argued that the allegations required a credible investigation.

“The findings involving public resources on the scale identified by the Auditor-General require credible investigation capable of establishing the facts, identifying responsibility and securing recovery where public funds have been unlawfully lost.

• Man jailed eight years for money laundering
• Shehu Sani warns north against seeking power in 2027
• 2027: Courts sack ADC, APC candidates in Gombe, Plateau

“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 read.

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

The suit quoted the report as stating that the “CBN internal audit disclosed that the money was spent based on a request for election funding purportedly made by the immediate past President of Nigeria [Muhammadu Buhari].”

It further stated, “However, ‘the CBN failed to make the investigation report of the alleged fraud available to the audit team for scrutiny and confirmation.’ The Auditor-General fears that the money may have been ‘lost’ and that the payments may have been ‘fraudulent.’ He wants the money recovered and remitted to the treasury.”

On intervention loans to state governments, SERAP cited the report as stating that, “The CBN also failed to recover over N1.2 trillion [N1,252,095,444,724.82] in ‘CBN intervention loans’ granted to different states in 2023. The Auditor-General fears that the money may have been ‘diverted to private purposes’ and recommends that the money be recovered and remitted to the treasury.”

The organisation also cited the report’s findings on loans granted to distressed and liquidated banks, stating that the CBN reportedly failed to recover N116.18bn and did not provide the relevant financial statements and recovery schedules for audit scrutiny.

On the Anchor Borrowers’ Programme, SERAP said the Auditor-General raised concerns about the management of ₦262.86bn intended to support farmers and improve food production. The suit stated, “The CBN reportedly ‘spent over N262 billion [N262,859,473,249.81] on Anchor Borrowers’ Programme meant to support farmers to ensure food production in the country.’ However, ‘the money remains in the hands of some ‘Anchors,’ which ‘could hamper the intended food-security objectives of the programme.’”

It added that the CBN allegedly failed to provide a list of beneficiaries and an assessment of the programme’s impact, while the Auditor-General expressed concerns that the funds might have been diverted to private purposes.

SERAP also cited concerns over seven boxes of currency notes awaiting examination and unserviceable vehicles at the CBN’s Lagos and Abeokuta branches, which the Auditor-General said could affect branch operations and critical currency services. The organisation argued that the CBN’s institutional independence did not exempt it from public accountability.

SERAP continued, “The CBN’s institutional independence cannot reasonably be understood as immunity from constitutional audit, statutory accounting requirements, public financial oversight, access to information or investigation of credible allegations of fraud and other financial misconduct.”

It also cited provisions of the Nigerian Constitution, the CBN Act 2007 and the United Nations Convention against Corruption in support of its position that public funds must be managed transparently and subjected to appropriate oversight.

SERAP concluded, stating, “Identifying those responsible, ensuring that any perpetrators are brought to justice, and securing the full recovery of any missing or unaccounted-for public funds would serve the public interest and help to address impunity for the mismanagement of public resources.”

However, no date has been fixed for the hearing of the suit.