Emefiele allegedly managed 593 unauthorized accounts in the United States, United Kingdom, and China, according to a CBN investigator.

A panel appointed by President Bola Tinubu to investigate the Central Bank of Nigeria’s actions during former Governor Godwin Emefiele’s tenure has revealed unauthorized investments of Nigeria’s funds in 593 foreign bank accounts across the United States, China, and the United Kingdom.

The final report, submitted on December 20 by special investigator Jim Obazee, disclosed that Emefiele placed £543,482,213 in fixed deposits in UK banks without proper authorization.

The report  partly read, “The former governor of CBN, Godwin Emefiele invested Nigeria’s money without authorization in 593 foreign bank accounts in United States, China and United Kingdom,  while he was in charge. 

“All the accounts where the billions were lodged have all been traced by the investigator.” 

In the report, Obaze also recommended that Emefiele, along with some top management team members, should face trial for the alleged illegal transactions and the purported misappropriation of funds for unauthorised purposes. 

Emefiele could be prosecuted for illegal issuance of currency under section 19 of the CBN Act alongside Tunde Sabiu, a former aide to former President Muhammadu Buhari, and 12 top directors of the CBN. 

It was gathered that the naira redesign policy was sold to Buhari at the instance of Sabiu and that the initiative was done without the approval of the board of the CBN. 

The investigator found that Buhari didn’t approve of the naira redesign. It was Tunde Sabiu who first told Emefiele in September 2022 to consider the redesign of the naira. On October 6, 2022, Emefiele wrote to Buhari that he wanted to redesign and reconfigure N1000, N500 and N200 notes. 

“The former President tagged along but did not approve the redesign as required by law. Buhari merely approved that the currency be printed in Nigeria. The redesign was only mentioned to the board of the CBN on December 15, 2022, after Emefiele had awarded the contract to the Nigerian Security Printing and Minting Plc on October 31, 2022,’’ the documents noted. 

Emefiele was said to have contracted the redesign of the naira to De La Rue of the UK for £205, 000 pounds under the vote head of the Currency Operations Department after the NSPM said it could not deliver the contract within a short timeframe. 

The special investigator found that N61.5bn was earmarked for the printing of the new notes out of which N31.79bn had been paid. 

As of August 9, 2023, findings revealed that N769bn of the new notes were in circulation. 

The probe of the CBN also revealed the fraudulent use of N26.627tn  Ways and Means of the Apex Bank as well as the misuse of the COVID-19 intervention fund. 

According to the report, the CBN under Emefiele at its 661st meeting held on October 27, 2020, approved that the Consolidated Revenue Fund Account should be debited with the sum of N124.860bn, and the decision was implemented on October 9. 

Also, the Committee of Governors at its 670th meeting held on December 9, 2020, granted anticipatory approval ‘’pending receipt of a formal request by Mr President and ratification by the board of directors the payment of the sum of N250bn only to the Federal Government of Nigeria to address challenges as a result of low revenue inflow and the payment of salaries. 

The CBN investigator discovered that the CBN Ways and Means was abused under the Buhari administration. 

The document further said, “In an instance, they (senior CBN and government officials) padded what the former President Muhammadu Buhari approved with N198,963,162, 187. There are instances where no approvals are received from the former president and yet, N500bn is taken and debited to Ways and Means. 

“There are more shocking instances where the erstwhile CBN governor and his four deputy governors connived to steal outright in order to balance the books of the CBN. 

“This was by violently taking money from the Consolidated Revenue account and then charging it to Ways and Means. It was a total of N124.860bn. They even created the narration as a presidential subsidy and expanded the ways and Means portfolio to accommodate crime. 

“The CBN officers and even the then acting CBN governor could not produce the Presidential Approval of most of the expenses described as ‘Ways and Means.’ When confronted, to provide the breakdown of the supposed N22.7trn that was presented to the 9th National Assembly to illegally securitise as ‘Ways and Means’ financing, they were only able to partially explain a total of N9.063 trn or N9.2trn depending on which official you are considering his submission and an unreasonable attribution of non-negotiated interest element of N6.5tn. 

“This shows that this was the point where the officers of the immediate past administration as well as the erstwhile CBN governor and his four deputy governors connived, defrauded, and stole from the commonwealth of our country with the aid of civil servants.’’ 

The report further stated, “The accurate reconciliation between the Central Bank of Nigeria (CBN) and the Ministry of Finance reveals that the true amount of the Ways and Means is N4,449,149,411,584.54. This discrepancy likely prompted the previous administration to hastily seek the securitization of the N22.7 trillion advances by the 9th National Assembly on December 19, 2022, despite its violation of Section 38 of the CBN Act, 2007.”

Under Emefiele’s leadership, the CBN reportedly expended N1.7 billion on questionable legal fees related to 19 cases involving the naira redesign policy. The investigator also uncovered allegations of misrepresentation concerning the presidential approval for the NESI Stabilisation Strategy Limited, approved by former President Goodluck Jonathan. The document revealed that the Committee of Governors misled the CBN Board, leading to the incorporation of a company limited by shares with unauthorized share capital.

Furthermore, it was disclosed that N1.325 billion was misappropriated pre-incorporation, with the funds funneled to four companies, including a legal firm that received N300 million. Over the period from 2015 to 2021, an investment company allegedly unlawfully received a total of N4.89 billion.

A breakdown indicated that the firm received N262mn in 2015, N464mn in 2016, N550mn in 2017, N726mn in 2018, N762 in 2019, N684 in 2020 and N1.44bn in 2021, totalling N4.89bn. 

Emefiele also allegedly paid N17.2bn to 14 deposit money banks participating in the Nigerian Electricity Market Stabilisation Facility. 

“A total of 14 DMBs engaged in the manipulation by unlawfully arranging and collecting 1.9535 per cent of the total disbursements paid to the DMBs participating in the Nigerian Electricity Market Stabilisation Facility. 

The fees are paid to the banks in the ratio of their contributions to the NEMSF disbursement, according to External Auditor’s Notes to the Financial Statement of NESI Stabilisation Strategy Limited. 

“The CBN also went further by authorising the issuance of debenture for the NESI SPV, starting with N64.8bn in 2015. By 2021, N952bn debenture had been issued. The investigator said the money was diverted from public funds,’’ the document further stated. 

It was further gathered that Emefiele could be tried for alleged manipulation of the naira exchange rate, fraudulent implementation of the e-naira project, and exemption of three foreign firms from paying income tax. 

During the investigation, it was revealed that $6.23 million was illegally withdrawn or stolen from the Central Bank of Nigeria (CBN) vault by two individuals using a forged presidential letter. The suspects, currently detained, presented a fake letter on February 7 and 8, 2023, claiming it was signed by President Buhari to withdraw the funds, supposedly earmarked for foreign election observation missions. Meanwhile, Emefiele, currently held at Kuje Custodial Centre, faces prosecution for a procurement fraud of N1.2 billion and has been unable to fulfill the N300 million bail granted by a Federal Capital Territory High Court on November 22.

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