The Central Bank of Nigeria is facing a major legal challenge as the Socio-Economic Rights and Accountability Project (SERAP) asks a Federal High Court in Abuja to compel the apex bank to account for $6.23m allegedly linked to election funding and more than ₦1.63tn in other public funds flagged by the Auditor-General.
The lawsuit raises serious questions about the handling of public money, with billions of naira reportedly tied to unrecovered loans, distressed banks and a government-backed agricultural programme.
SERAP is demanding full disclosure of how the funds were approved, disbursed and managed, who benefited from the transactions, and what steps have been taken to recover any money found to have been improperly spent.
The organisation announced the legal action in a statement issued on Sunday by its Deputy Director, Kolawole Oluwadare.
The suit, marked FHC/ABJ/CS/2450/2026, was reportedly filed on Friday at the Federal High Court in Abuja. It follows findings contained in Volume II of the Auditor-General of the Federation’s 2023 annual report, published on August 7, 2026.
At the heart of the dispute is an alleged election-funding fraud involving $6.23m, alongside more than ₦1.63tn in other transactions that the audit report identified as requiring accountability and recovery.
The disputed funds include approximately ₦1.25tn in intervention loans allegedly left unrecovered from state governments, ₦116.18bn in loans to distressed and liquidated banks, and ₦262.86bn disbursed under the Anchor Borrowers’ Programme.
SERAP wants the court to issue an order of mandamus compelling the CBN to account for the money and disclose the identities of the individuals and organisations that received or benefited from the transactions.
It is also seeking details of repayment arrangements, recovery efforts, internal investigations and any disciplinary measures taken against officials implicated in the alleged financial irregularities.
$6.23m election-funding controversy
One of the most striking allegations concerns $6.23m reportedly spent following an election-funding request purportedly made by former President Muhammadu Buhari.
According to the suit, the Auditor-General’s report indicated that the CBN’s internal audit had uncovered the transaction but that the bank failed to provide its investigation report for independent scrutiny.
SERAP quoted the report as stating that the money was spent based on a request for election funding allegedly made by Buhari.
The audit findings reportedly raised concerns that the funds might have been lost and that the payments could have been fraudulent. The Auditor-General recommended that the money be recovered and returned to the treasury.
SERAP is asking the court to compel the CBN to disclose the full circumstances surrounding the transaction, including the outcome of any investigation and the identities of those who authorised or received the funds.
The allegations have not, in themselves, established that any named individual committed fraud.
₦1.25tn in state government loans under scrutiny
The lawsuit also targets more than ₦1.25tn in CBN intervention loans reportedly granted to various state governments in 2023 but not recovered.
SERAP cited the Auditor-General’s report as identifying the outstanding amount as ₦1,252,095,444,724.82.
The report reportedly expressed concern that some of the funds could have been diverted to private purposes and recommended their recovery and remittance to the treasury.
SERAP wants the CBN to explain the status of the loans, identify the beneficiaries and disclose the measures taken to recover the outstanding balances.
₦116.18bn linked to distressed banks
Another major concern involves ₦116.18bn in loans reportedly granted to distressed and liquidated banks.
According to SERAP, the Auditor-General faulted the CBN for failing to recover the money and for not providing the relevant financial statements and recovery schedules needed for audit scrutiny.
The organisation argues that the bank must account for the outstanding funds and explain what action has been taken to establish the amounts recoverable and pursue repayment.
₦262.86bn agricultural programme raises questions
The Anchor Borrowers’ Programme, designed to support farmers and boost domestic food production, is also under scrutiny.
SERAP said the Auditor-General’s report flagged ₦262,859,473,249.81 disbursed under the programme, raising concerns that the money remained in the hands of some programme participants known as “Anchors”.
The report reportedly warned that the situation could undermine the programme’s food-security objectives.
SERAP further alleged that the CBN failed to provide a comprehensive list of beneficiaries and an assessment of the programme’s impact, leaving questions about how the funds were used and whether the intended farmers received the promised support.
The organisation wants the bank to disclose the beneficiaries, account for the disbursements and explain the steps taken to recover any funds improperly used.
SERAP demands answers on cash, vehicles
The lawsuit extends beyond the disputed financial transactions.
SERAP is also asking the court to compel the CBN to provide records concerning seven boxes of currency notes awaiting examination, unserviceable vehicles at its Lagos branch and a bullion van at its Abeokuta branch.
The organisation argues that these matters raise additional concerns about the safeguarding of public assets, operational efficiency and the management of resources within the apex bank.
‘Independence is not immunity’
SERAP maintains that the CBN’s institutional independence does not place it beyond the reach of constitutional oversight, statutory audit requirements or investigations into credible allegations of financial misconduct.
“The accountability of public institutions, including the CBN, is a crucial pillar of Nigeria’s constitutional democracy,” the organisation said.
It argued that the audit findings raised fundamental questions about the custody, expenditure, accounting, safeguarding and recovery of public resources.
The suit relies on provisions of the 1999 Constitution, as amended, the CBN Act 2007, national anti-corruption laws and Nigeria’s obligations under the United Nations Convention against Corruption.
SERAP’s legal team, comprising Kolawole Oluwadare, Kehinde Oyewumi, Andrew Nwankwo and Kelechi Anwu, contends that the allegations warrant a credible investigation capable of establishing the facts, identifying responsibility and recovering public funds where losses are confirmed.
The organisation is asking the court to compel the CBN to disclose the basis for each disputed transaction, identify the people or entities that benefited and provide details of any investigation, reconciliation or recovery measures.
It also wants information on any disciplinary or administrative action taken against officials found responsible.
SERAP said accountability must go beyond identifying questionable transactions, insisting that those responsible should face appropriate consequences and any missing or unaccounted-for public funds should be recovered.
The legal battle now places the CBN’s handling of the audit findings before the court, with SERAP seeking enforceable orders for transparency and financial accountability.
No hearing date has been fixed for the suit.
SERAP Sues CBN Over $6.23m Election Funds, ₦1.63tn Debt
