The Socio-Economic Rights and Accountability Project (SERAP) has instituted a suit against the Central Bank of Nigeria (CBN), demanding an explanation 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.
The organisation is asking the Federal High Court in Abuja to compel the apex bank to account for the funds, disclose the individuals and entities that benefited from the transactions, and provide details of efforts to recover outstanding amounts.
SERAP also wants the court to direct the CBN to identify officials who authorised the disbursements and reveal any disciplinary or administrative measures taken against those found responsible.
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 filed on Friday following revelations contained in Volume II of the Auditor-General’s 2023 Annual Report, published on August 7, 2026.
The funds under scrutiny comprise $6.23m allegedly linked to a fraudulent request for election funding 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 allocated 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 further asking the court to order the bank to disclose the purposes for which the money was released, the beneficiaries, the status of repayments and the steps taken to retrieve outstanding funds. The organisation also wants access to the outcome of the CBN’s internal investigation into the alleged election-funding fraud.
Beyond the disputed transactions, SERAP is seeking information on seven boxes of currency notes awaiting examination, unserviceable vehicles at the bank’s Lagos branch and a bullion van at its Abeokuta branch.
In its submissions, the organisation maintained that public institutions must be answerable for their management of public resources.
“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 scale of the reported financial discrepancies warranted a thorough examination of how public money was handled.
“The magnitude and nature of these findings raise fundamental questions about the custody, expenditure, accounting, safeguarding and recovery of public resources.”
The legal action, filed by SERAP’s lawyers, Kolawole Oluwadare, Kehinde Oyewumi, Andrew Nwankwo and Kelechi Anwu, argues that the allegations require an independent and credible process to establish the facts, determine responsibility and recover any funds found to have been improperly spent.
“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.
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.
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On the election-related funds, SERAP relied on the Auditor-General’s findings 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.”
SERAP also drew attention to intervention loans worth more than N1.2tn that the CBN reportedly failed to recover from state governments.
According to the suit, the Auditor-General’s report stated 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 report also reportedly identified N116.18bn in outstanding loans to distressed and liquidated banks. SERAP said the CBN failed to recover the amount and did not provide the relevant financial statements and recovery schedules for the audit team to examine.
Another area of concern is the N262.86bn disbursed under the Anchor Borrowers’ Programme, which was established to support farmers and strengthen 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.’”
SERAP alleged that the bank failed to supply a list of beneficiaries or an assessment of the programme’s results. It added that the Auditor-General was concerned that the funds could have been diverted for private purposes.
The organisation also raised concerns about the seven boxes of currency notes awaiting examination and unserviceable vehicles at the CBN’s Lagos and Abeokuta branches, issues the Auditor-General reportedly warned could disrupt branch operations and essential currency services.
SERAP argued that the bank’s independence did not remove its obligation to comply with financial reporting and oversight requirements.
“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.”
The organisation cited provisions of the Nigerian Constitution, the CBN Act 2007 and the United Nations Convention against Corruption to support its demand for transparency in the handling of public funds.
It maintained that identifying those responsible for any wrongdoing, prosecuting offenders where appropriate and recovering missing or unaccounted-for funds would promote accountability and discourage the misuse of public resources.
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.”
No date has been fixed for the hearing of the suit.