In the ongoing trial of former Central Bank of Nigeria (CBN) Governor, Godwin Emefiele, over alleged disobedience to the law and illegal actions causing harm to the public, the immediate past Deputy Governor in charge of Operations, Folashodun Adebisi Shonubi, testified in court on Wednesday. Shonubi disclosed that the CBN, under Emefiele’s leadership, did not adhere to the bank’s laid down procedures for redesigning the naira.
Shonubi, testifying before Justice Maryann Anenih of the High Court of the Federal Capital Territory, Abuja, explained that the CBN’s standard process for currency redesign involves several stages, including recommendations from the Currency Management Department, approval from the Committee of Governors (COG), a recommendation to the CBN Board, and final approval from the President of Nigeria. However, this process was bypassed during the 2022 naira redesign.
According to the Economic and Financial Crimes Commission (EFCC), which is prosecuting Emefiele, the former CBN governor is accused of approving the printing of 375,520,000 pieces of redesigned N1,000 notes at a cost of N11 billion without proper recommendation from the CBN board or approval from the President, contrary to Section 19 of the CBN Act. Similar unauthorized actions involving the printing of N500 and N200 notes, as well as the withdrawal of over N124 billion from the Consolidated Revenue Fund, are also part of the charges.
During his testimony, Shonubi revealed that the Currency Management Department had recommended a redesign of the naira notes as early as 2021, but Emefiele instructed that the plan be delayed. In 2022, when the issue resurfaced, Emefiele informed the deputy governors that he had obtained presidential approval for the redesign, presenting them with a memo bearing the President’s signature.
Shonubi stated, “While serving as deputy governor, there was a time naira was redesigned. That was in 2022. The CBN did not follow the procedures [for redesigning the naira].”
He further elaborated that despite Emefiele’s claims of presidential approval, the normal procedure of presenting the redesign plan to the CBN Board for recommendation was not followed. The board was informed of the redesign only after the fact, and what was shown to the deputy governors differed from what was ultimately produced.
Emefiele, who has pleaded not guilty to all charges, faces a four-count charge brought by the EFCC. The trial continues, with Shonubi’s testimony raising further questions about the legality of Emefiele’s actions during his tenure as CBN governor.
