Socio-Economic Rights and Accountability Project, SERAP, has filed a lawsuit praying the Federal High Court in Abuja, to constrain President Muhammadu Buhari from borrowing from Nigeria’s dormant account, an estimated sum of N895bn.
This prayer comes as SERAP states that the Finance Act, 2020 was a patently unlawful, unconstitutional, and discriminatory legislation following the recent move by the Federal Government to take over and borrow unclaimed dividends and dormant account balances owned by Nigerians in any bank in the country. But the same legislation explicitly excludes dormant official bank accounts by all branches of government and their agencies.
In the suit number FHC/ABJ/CS/31/2021, SERAP is seeking: “an order of perpetual injunction restraining and stopping President Buhari from demanding, taking over, borrowing, and collecting Nigerians’ money in the form of their unclaimed dividends and funds in dormant accounts or transferring and moving the money into a trust fund known as ‘Unclaimed Funds Trust Fund”.
SERAP is further arguing that “the Federal Government should not be allowed to borrow Nigerians’ money. Borrowing unclaimed dividends and funds in dormant accounts owned by ordinary Nigerians would negatively affect their right to an adequate standard of living, and access to clean water, quality healthcare and education”.
According to SERAP: “Despite Nigeria’s dwindling oil revenue, the growing level of public debt, and widespread poverty, public officers including the President, Vice President, governors and their deputies, and members of the National Assembly have refused to cut their emoluments, allowances and security votes. At the same time, millions of Nigerians continue to bear the brunt of mismanagement and corruption”.
Joined in the suit as Defendants are: Mr Abubakar Malami SAN, Attorney General of the Federation and Minister of Justice; the Senate President, Ahmad Lawan; the Speaker of House of Representatives, Femi Gbajabiamila; and the Minister of Finance, Budget and National Planning, Ms Zainab Ahmed.
SERAP is also arguing that “For there to be a borrower, there must be a lender. The intention to enter into such borrower-lender relationship must be known to both parties. Any other arrangement that allows a borrower to access funds from a lender without the knowledge and express consent of the lender will amount to stealing.
“The Federal Government has repeatedly failed to ensure transparency and accountability in the spending of public wealth and resources such as recovered stolen public funds, and the loans so far obtained, estimated to be $31.98bn, and failed to address the systemic and widespread corruption in ministries, departments and agencies (MDAs)”.
