February 06, (THEWILL) – The Kaduna State Government along with Kogi and Zamfara States have asked the Supreme Court to restrain the Federal Government and the Central Bank Nigeria (CBN) from implementing the February 10 deadline for the use of old naira notes.
In a motion ex-parte filed on their behalf by their lawyer, AbdulHakeem Uthman Mustapha (SAN), the three States urged the apex court to grant them an interim injunction against the Federal Government, either by itself or acting through the CBN, the commercial banks or its agents from carrying out its plan to face out the old N200, N500, and N1000 notes.
The Plaintiffs in the suit are the three Attorneys-General and Commissioners of Justice of the three states, while the Attorney-General of the Federation and Minister of Justice, Abubakar Malami (SAN), is the sole Respondent.
According to the Plaintiffs, since the announcement of the new naira note policy, there has been an acute shortage in the supply of the new naira notes in Kaduna, Kogi and Zamfara States.
They argued that the citizens, who have dutifully deposited their old naira notes have increasingly found it difficult to access the new naira notes.
They further argued that the timeframe for the policy was too short and that it was being carried out in a haphazard manner with the attendant hardship on Nigerians.
According to them, the 10 days extension by the Federal Government was still insufficient to address the challenges bedevilling the policy.
Among others, the three States are seeking a declaration that the Demonetization Policy of the Federation being currently carried out by the CBN under the directive of the President of the Federal Republic of Nigeria, is not in compliance with the extant provisions of the Constitution of the Federal Republic of Nigeria 1999 (as amended), Central Bank of Nigeria Act, 2007 and actual laws on the subject.
The states are also asking the court to make a declaration that the three-month notice given by the Federal Government of Nigeria, through the CBN, under the directive of the President of the Federal Republic of Nigeria, the expiration of which will render the old Banknotes inadmissible as legal tender, is in gross violation of the provisions of Section 20(3) of the Central Bank of Nigeria Act 2007, which specifies that Reasonable Notice must be given before such a policy.
No date has been fixed for the hearing of the suit.
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