S’Court invalidates FG’s demonetisation policy

*Says old Naira notes valid till Dec. 31, 2023

BY ANDREW OROLUA AND DOOSUUR IWAMBE

Millions of Nigerians were relieved on Friday as the Supreme Court invalidated the Federal government demonetisation policy and ordered that the old Naira notes should serve as legal tender till December 31, 2023.

The apex court said that the old Naira notes: N200, N500 and N1000 whose circulation have been an objection of contention between the federal government and 16 state governments should circulate alongside the newly introduced Naira notes.

Unanimously, members of the full panel of the Supreme Court “declared the demonetisation policy of the federal government as invalid”

Also declared invalid was the February 16, 2023 directive contained in the nationwide broadcast of President Muhammadu Buhari that reintroduced N200 old note into circulation till April 10, 2023 and the prohibition of N500 and N1000 old Naira notes from circulation with effect from February 10, 2023 ,and his directive that the owners of such old notes should personally deposit same with the Central Bank of Nigeria .

Delivering the lead judgment on Friday on the suits filed by the 16 state governments , Justice Emmanuel Akomaye Agim agreed with the plaintiff state governments that the sudden introduction of the redesign Naira policy without prior consultation with state governments, National Economic Council and National Council of States was in violation of the provisions of 1999 Constitution 1999 (as amended).

Justice Agim also agreed with the plaintiff that the Federal government ought not to be heard at all after Mr President disobey it’s interim order of February 8, 2023 restraining the parties from taking further action on the matter pending the determination of motion on notice.

The apex court said that it is not in dispute that the President flaunted it’s order adding that such use of powers by President Buhari is not permitted under democracy, particularly in a plural society like the Nigerian nation where rule of law reigns.

Among others, the Supreme Court held that unlawful use of executive powers by the President inflicted unprecedented economic hardship on the citizens by denying them their hard earned monies and even access to their monies the federal government and its agent had asked them to deposit.

Justice Agim held that the President acted ulta vires by his glaring failure to consult with the National Council of States, Federal Executive Council, FEC and the National Economic Council, NEC before directing the Central Bank of Nigeria to unlawfully introduce new Naira notes.

He held that the unconstitutional use of powers by President Buhari on Naira re-designing has breached the fundamental rights of the Nigerian citizens in various ways.

Earlier in his judgment, Justice Agim had dismissed the preliminary objection to the suit for lacked of merit.He said that the apex court had jurisdiction to entertain the suits as dispute between the federal government and the State governments.

He said that the complaints of the state governments was that they were not consulted before the federal government embarked on the policy that have subjected them to unprecedented suffering.

Other justices on the panel headed by Justice Inyang Okoro, includes Justices Amina Augie , Lawal Garba, Ibrahim Saulawa, Adamu Jauro and Tijani Abubakar. They all agreed with the judgment.

Reacting to the judgment, Governor of Kaduna state, Nasiru el-Rufia said, “the demonetisation policy was targeted on the APC but we defeated them at the just concluded presidential election.”

He said that CBN Governor Godwin Emefiele introduced the demonetisation policy to aid the opposition parties in the election.

Meanwhile reactions have continued to trail the Supreme Court’s decision. Renowned lawyer, Ebun-Olu Adegboruwa SAN, has commended the Supreme Court over its judgement on nullifying the ban on use of the old N200, N500 and N1000 banknotes. Olu Adegboruwa who reacted immediately after the court verdict said that the judgement is a courageous confirmation of the sanctity of the rule of law and due process, in a democracy.

The senior lawyer noted that the judgment is a soothing relief from the hardship that Nigerians have been subjected to, over the past few weeks, on account of this rather thoughtless policy.

He called on President Muhammadu Buhari to immediately direct the Central Bank of Nigeria to comply fully with the judgment of the Supreme Court, as stated under section 287(1) of the Constitution and allow ALL the N200, N500 and N1000 old Naira notes to be circulating along with the Naira new notes till December 23, 2023.

He said, “The judgment of the Supreme Court delivered today on the arbitrary and capricious redesigning of Naira notes is a

courageous confirmation of the sanctity of the rule of law and due process, in a democracy.

“It is a soothing relief from the hardship that Nigerians have been subjected to, over the past few weeks, on account of this rather thoughtless policy.

“The court should always be the platform for the resolution of all disputes by all aggrieved persons. I salute the sagacity and courage of the justices of the Supreme Court for rising up to rescue Nigerians from the pangs of death, frustration and looming economic recession.

“As there is no room for further appeal against the judgment of the Supreme Court, I urge the President to immediately direct the Central Bank of Nigeria to comply fully with the judgment of the Supreme Court, as stated under section 287(1) of the Constitution and allow ALL the N200, N500 and N1000 old Naira notes to be circulating along with the Naira new notes till December 23, 2023.

“Across all our land today, there will joy in many homes, businesses will bounce back and Nigerians will find cause to celebrate their freedom from all forms of dictatorship and arbitrariness”.

Recall that the Supreme Court, on Friday, nullified the ban on use of the old N200, N500 and N1000 banknotes as legal tenders.

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The apex court, in a unanimous verdict by a seven-member panel of Justices, held that the old banknotes should remain valid legal tenders until December 31.

It held that the old Naira notes should be used alongside the redesigned currencies.

It faulted President Muhammadu Buhari for introducing the demonization policy, without due consultation with the Council of States, the Federal Executive Council, the Civil Society and other relevant stakeholders.