The Socio-Economic Rights and Accountability Project (SERAP) has sued the Central Bank of Nigeria (CBN) over its alleged failure to account for $6.23 million in election-related funds and more than ₦1.63 trillion in other public funds flagged in the Auditor-General of the Federation’s 2023 annual report.
The report, published on August 7, 2026, identified several questionable financial transactions and unrecovered loans relating to the period under review.
The funds include $6.23 million linked to an allegedly fraudulent election-funding request purportedly made by former President Muhammadu Buhari; ₦1.252 trillion in unrecovered intervention loans to state governments; ₦116.18 billion in loans to distressed and liquidated banks; and ₦262.86 billion disbursed under the Anchor Borrowers’ Programme.
In a suit marked FHC/ABJ/CS/2450/2026 and filed last Friday at the Federal High Court in Abuja, SERAP is seeking an order of mandamus compelling the CBN to account for the funds and disclose details of their disbursement, beneficiaries, repayment status and recovery efforts.
The organisation is also asking the court to compel the bank to disclose the findings of its internal investigation into the alleged election-funding fraud, identify the officers and other individuals responsible for approving and disbursing the money, and state whether any disciplinary or administrative action has been taken.
SERAP is further seeking an explanation for seven boxes of currency notes awaiting examination, abandoned and unserviceable vehicles at the CBN’s Lagos branch, and an unserviceable bullion van at its Abeokuta branch.
Alleged election-funding fraud
According to the Auditor-General’s report, the CBN failed to investigate an alleged fraud involving $6.23 million at its Abuja branch.
The report stated that the bank’s internal audit had revealed that the money was spent following a request for election funding purportedly made by Buhari.
However, the CBN reportedly failed to provide the audit team with the investigation report for scrutiny and verification.
The Auditor-General expressed concern that the funds might have been lost through fraudulent payments and recommended their recovery and remittance to the treasury.
SERAP argued that the findings warranted a credible investigation to establish the facts, identify those responsible and recover any public funds found to have been unlawfully disbursed.
“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 organisation said.
Unrecovered loans, anchor borrowers’ programme
The Auditor-General also reported that the CBN had failed to recover ₦1.252 trillion in intervention loans granted to various state governments.
The report raised concerns that the funds might have been diverted to private purposes and recommended their recovery and remittance to the treasury.
Another ₦116.18 billion in loans granted to distressed and liquidated banks was reportedly outstanding.
The CBN also allegedly failed to provide its 2023 audited or draft financial statements, alongside a schedule of loan recoveries and outstanding balances, for the audit team’s examination.
Regarding the Anchor Borrowers’ Programme, the report identified ₦262.86 billion disbursed under the initiative designed to support farmers and boost food production.
According to the Auditor-General, some programme anchors still held the funds, raising concerns that the money might not have achieved its intended food-security objectives.
The report further stated that the CBN failed to provide a list and number of beneficiaries or evidence of the programme’s impact for audit assessment.
It recommended the recovery of the funds, citing concerns that they might have been diverted to private purposes.
Currency notes, abandoned vehicles flagged
The Auditor-General’s report also flagged seven boxes of currency notes awaiting examination, which the CBN reportedly failed to account for.
The report warned that the situation could increase the volume of outstanding currency notes awaiting examination and create risks of financial mismanagement. It recommended sanctions for gross misconduct.
At the CBN’s Lagos branch, the report identified abandoned, unserviceable vehicles, warning that their condition could disrupt branch operations and delay critical currency-related activities.
It called on the bank to provide evidence of the vehicles’ disposal or replacement.
A similar concern was raised over an unserviceable bullion van at the CBN’s Abeokuta branch. The vehicle reportedly remained on the branch’s records, prompting the Auditor-General to request evidence of its disposal or replacement.
SERAP cites constitutional, statutory obligations
SERAP argued that the findings raised fundamental questions about the custody, expenditure, accounting, safeguarding and recovery of public resources.
“The accountability of public institutions, including the CBN, is a crucial pillar of Nigeria’s constitutional democracy,” the organisation said.
It maintained that the CBN’s institutional independence did not exempt it from constitutional audits, statutory accounting requirements, public financial oversight or investigations into credible allegations of fraud and financial misconduct.
SERAP also cited Sections 13 and 15(5) of the 1999 Constitution, as amended, as well as provisions of the Central Bank of Nigeria Act 2007 governing the bank’s accounts, assets, financial reporting and management.
The organisation further referenced Nigeria’s obligations under the United Nations Convention against Corruption, particularly provisions concerning anti-corruption policies and the proper management of public funds.
SERAP argued that identifying those responsible, ensuring accountability and recovering any missing or unaccounted-for funds would serve the public interest.
The suit was filed on SERAP’s behalf by its lawyers, Kolawole Oluwadare, Kehinde Oyewumi, Andrew Nwankwo and Kelechi Anwu.
No date has been fixed for the hearing.
