Socio-Economic Rights and Accountability Project (SERAP) has taken legal action against Nyesom Wike, the Minister of the Federal Capital Territory, Abuja, and other Nigerian governors for their inability to provide an account of the N5.9 trillion and $4.6 billion loans secured by their respective states and FCT. SERAP is demanding the publication of the loan agreements, as well as information on the projects executed with the borrowed funds.
The lawsuit comes in response to Governor Uba Sani’s recent revelation that the previous administration in Kaduna State, led by Nasir El-Rufai, left behind a financial crisis with significant debts, making it challenging for the state to meet its financial obligations, including paying salaries.
Filed under suit number FHC/ABJ/CS/592/2024 last Friday at the Federal High Court in Abuja, SERAP is calling on the court to compel the governors and Wike to provide a detailed account of the loans and publish the related agreements, including the projects’ locations funded by these loans.
SERAP is also seeking to involve the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) in investigating the utilization of these loans by the states and FCT.
Arguing in the interest of the public, SERAP stresses the importance for transparency in revealing how the loans obtained by the governors and the FCT minister have been managed and the necessity for citizens to have access to this information.
In the lawsuit, SERAP’s legal team comprising Kolawole Oluwadare, Kehinde Oyewumi, and Valentina Adegoke, emphasized the significance of transparency and accountability in the handling of public funds, insisting that the loan agreements should be made publicly available for scrutiny.
It is imperative that state governors and Wike adhere to transparency standards and disclose the details of borrowed funds’ utilization to ensure accountability to the public, regardless of the applicability of the Freedom of Information Act at the state level.
Notably, Nigeria’s Debt Management Office reports that the total public debt for the country’s states and the FCT stands at N5.9 trillion for domestic loans and $4.6 billion for external debt.
Despite the lawsuit, a hearing date has not yet been scheduled.