Naira Redesign Not Approved By Buhari, But His Nephew Tunde Sabiu – CBN Investigator

The Special Investigator on the Central Bank of Nigeria and Related Entities, Jim Obazee has revealed the discrepancies surrounding the recent redesign of the Naira notes.

In the final report submitted to President Bola Tinubu on Wednesday, Jim Obazee claimed that the former President, Muhammadu Buhari, did not approve the Naira redesign.

According to him, the approval was granted by Buhari’s aide, Sabiu Tunde ‘Yusuf’ who is also the former President’s nephew.

Obazee disclosed that the redesign was executed in collaboration with the embattled former CBN governor, Godwin Emefiele, who is currently facing prosecution for N1.2bn in procurement fraud.

Emefiele, in conjunction with Sabiu, initiated the redesign without obtaining the necessary approval from the CBN board.

This was contained in the investigator’s final report tagged, ‘Report of the Special Investigation on CBN and Related Entities (Chargeable Offences) submitted to President Tinubu on Wednesday.

The report highlighted the timeline of events, noting that Buhari neither explicitly approved the redesign nor was fully informed of the details.

Tunde Sabiu suggested the redesign to Emefiele in September 2022, and by October 6, 2022, the former CBN governor informed Buhari of the intention to redesign the N1000, N500, and N200 notes.

However, documents obtained by Punch indicated that Buhari’s approval was limited to printing the currency in Nigeria, not the redesign itself.

The board of the CBN was only notified about the redesign on December 15, 2022, after the contract had already been awarded.

“On October 6, 2022, Emefiele wrote to Buhari that he wanted to redesign and reconfigure the N1000, N500, and N200 notes.

“The former president tagged along but did not approve the redesign as required by law. Buhari merely approved that the currency be printed in Nigeria.

“The redesign was only mentioned to the board of the CBN on December 15, 2022, after Emefiele had awarded the contract to Nigerian Security Printing and Minting Plc on October 31, 2022,’’ the documents noted.

Emefiele awarded the redesign contract to De La Rue of the UK for £205,000, as the Nigerian Security Printing and Minting Plc couldn’t meet the required timeframe.

The report further showed that “the special investigator found that N61.5bn was earmarked for the printing of the new notes, out of which N31.79bn had been paid.

“As of August 9, 2023, findings revealed that N769bn of the new notes were in circulation.

“The probe of the CBN also revealed the fraudulent use of N26.627tn Ways and Means of the Apex Bank as well as the misuse of the COVID-19 intervention fund.

“For instance, the CBN under Emefiele at its 661st meeting held on October 27, 2020, approved that the Consolidated Revenue Fund Account should be debited with the sum of N124.860bn, and the decision was implemented on October 9.

“Similarly, the Committee of Governors, at its 670th meeting held on December 9, 2020, granted ‘anticipatory approval’ pending receipt of a formal request by Mr President and ratification by the board of directors for the payment of the sum of N250bn only to the Federal Government of Nigeria to address challenges as a result of low revenue inflow and the payment of salaries.

“The decision was implemented on December 15, 2020.”

The investigation revealed abuse of the CBN Ways and Means provision under the Buhari administration. This provision allows the government to borrow from the apex bank for short-term or emergency finance.

Moreover, despite the scarcity of naira in the latter months of 2022, it was reported that the CBN spent N74.84bn to produce and roll out currencies, including new naira notes, representing a 40.42% increase from the previous year.

The development indicated that the former apex bank governor might face fresh criminal charges over the handling of the CBN naira redesign policy.

Emefiele could be “prosecuted for illegal issuance of currency under Section 19 of the CBN Act alongside Tunde Sabiu and the 12 top directors of the CBN.”

Meanwhile, the CBN has issued a stern warning to Deposit Money Banks (DMBs) and Point of Sale (PoS) operators to cease any actions that disrupt the seamless distribution of Naira notes.