The Central Bank of Nigeria (CBN) has reportedly failed to provide the Auditor-General of the Federation with its internal investigation report concerning an alleged $6.23 million fraud involving its Abuja branch.
The issue was contained in Volume II of the Auditor-General’s 2023 Annual Report, which was published in August. The matter has also prompted calls for the apex bank to explain the circumstances surrounding the transaction.
According to the audit findings, the CBN’s internal audit had raised concerns over the transaction involving more than $6.2 million. The funds were reportedly withdrawn from the CBN’s Abuja vault on February 8, 2023, during the tenure of former CBN Governor Godwin Emefiele.
The money was said to have been released for the payment of foreign election observers for the 2023 general elections based on a request attributed to the late former President Muhammadu Buhari.
However, when the Auditor-General’s audit team attempted to verify the transaction, the CBN reportedly did not provide the internal investigation report requested. The Auditor-General subsequently raised concerns that the funds could have been lost and that the payments may have been fraudulent.
The audit report recommended that the money be recovered and returned to the government treasury.
A subsequent investigation by a Federal Government panel reportedly found that a letter bearing Buhari’s signature and authorising the election-related expenditure had been forged. The panel also found that the withdrawal passed through several CBN officials before the cash was released to individuals whose identities were not fully established.
The transaction later became part of the criminal proceedings involving Emefiele, who has denied the allegations.
An Economic and Financial Crimes Commission witness also told an Abuja court that the agency’s investigation found that the $6.23 million had been withdrawn from the CBN vault under the claim that it was required for foreign election observers. The witness said documents used to authorise the payment were recovered and that signatures attributed to Buhari and former Secretary to the Government of the Federation, Boss Mustapha, were found to have been forged.
The matter is among several issues concerning the CBN that were highlighted in the Auditor-General’s 2023 report.
The report also raised concerns about the recovery of intervention loans granted to state governments, loans issued to distressed and liquidated banks, and funds disbursed under the Anchor Borrowers’ Programme.
For the election-related payment, the audit particularly highlighted weaknesses in the CBN’s internal processes and the failure to provide information needed to verify the transaction.
The Socio-Economic Rights and Accountability Project has consequently called on the CBN Governor, Olayemi Cardoso, and the apex bank to publish the findings of the internal investigation, explain measures taken to recover the funds and identify those responsible for the transaction.
The organisation has also called for an independent forensic reconciliation of the funds mentioned in the audit report and the recovery of any money found to have been diverted, lost or improperly paid.
