Socio-Economic Rights and Accountability Project (SERAP) has taken legal action against Nigeria’s governors and the Minister of the Federal Capital Territory (FCT), Mr Nyesom Wike, citing their failure to account for substantial loans acquired by their respective states and the FCT.
The lawsuit, filed at the Federal High Court, Abuja, demands transparency regarding the N5.9 trillion and $4.6 billion loans, urging the publication of loan agreements and details of project executions.
The move comes in the wake of Governor Uba Sani of Kaduna State’s revelation of the daunting financial legacy inherited from the previous administration, including $587 million, N85 billion in debt, and 115 contractual liabilities. These burdens have rendered the state unable to meet salary obligations.
In the filed suit, FHC/ABJ/CS/592/2024 filed last Friday at the Federal High Court, Abuja, SERAP is asking the court to “direct and compel the governors and Wike to account for N5.9trn and $4.6bn loans obtained by their states and the FCT and to publish copies of the loan agreements, location of projects executed with the loans.”
SERAP is also asking the court to direct and compel the governors and Mr Wike to invite the Economic and Financial Crimes Commission [EFCC] and the Independent Corrupt Practices and Other Related Offences Commission [ICPC] to investigate the spending of all the loans obtained to date by their states and the FCT.
According to SERAP, “Opacity in the spending of the loans obtained by the governors and Mr Wike would continue to have negative impacts on the fundamental interests of the citizens.”
The organization’s legal representatives, Kolawole Oluwadare, Kehinde Oyewumi, and Ms Valentina Adegoke, underscored the necessity for accountability in the suit filed stressing, “States and the FCT should be guided by transparency and accountability principles and proactively account for the loans obtained and publish copies of the loan agreements.
“Widely publishing copies of the loan agreements and spending details of the loans obtained would ensure that persons with public responsibilities are answerable to the people for the performance of their duties in the management of public funds.
“State governors and Mr Wike cannot hide under the excuse that the Freedom of Information Act is not applicable to their states and the FCT. The legal obligations to publish the information sought are also imposed by the provisions of the Nigerian Constitution and the African Charter on Human and Peoples’ Rights.
“According to Nigeria’s Debt Management Office, the total public domestic debt portfolio for the country’s 36 states and the Federal Capital Territory is N5.9 trillion. The total public external debt portfolio is $4.6 billion.”
