The Socio-Economic Rights and Accountability Project has filed a lawsuit against Nigeria’s 36 governors and the Minister of the Federal Capital Territory, Abuja, Mr. Nyesom Wike, over their failure to account for N5.9 trillion and $4.6 billion loans obtained by their states and the FCT.
In the suit, SERAP is seeking a court order to direct and compel the governors and Mr. Wike to account for the loans and publish copies of the loan agreements, including details and locations of projects executed with the loans.
The organization is also asking the court to direct the governors and Mr. Wike to invite the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission to investigate the spending of all the loans obtained to date by their states and the FCT.
“Widely publishing copies of the loan agreements and spending details of the loans obtained would ensure that persons with public responsibilities are answerable to the people for the performance of their duties in the management of public funds.
“State governors and Mr Wike cannot hide under the excuse that the Freedom of Information Act is not applicable to their states and the FCT. The legal obligations to publish the information sought are also imposed by the provisions of the Nigerian Constitution and the African Charter on Human and Peoples’ Rights.
“According to Nigeria’s Debt Management Office, the total public domestic debt portfolio for the country’s 36 states and the Federal Capital Territory is N5.9 trillion. The total public external debt portfolio is $4.6 billion.
“The domestic and external loans obtained by the states and the FCT are vulnerable to corruption and mismanagement. The states and FCT have a responsibility to ensure transparency and accountability in how any loans obtained by the states and FCT are spent, to reduce vulnerability to corruption and mismanagement.
“Directing and compelling the states and FCT to publish copies of the loan agreements would allow Nigerians to scrutinise them, and promote transparency and accountability on the spending of public funds including the loans obtained.”
According to SERAP, the governors and Mr. Wike have a responsibility to ensure transparency and accountability in how any loans obtained by their states and the FCT are spent, to reduce vulnerability to corruption and mismanagement.
The organization argued that the public interest in obtaining information about expenditures relating to the loans obtained by the states and FCT outweighs any privacy or other interest.
SERAP also stated that many states and the FCT are reportedly spending public funds, which may include the loans obtained by them, to fund unnecessary travels, buy exotic and bulletproof cars, and generally fund the lavish lifestyles of politicians.
The organization alleged that many states and the FCT are also mismanaging public funds, which may include domestic and external loans obtained from bilateral and multilateral institutions and agencies.
The lawsuit followed the disclosure last month by Governor Uba Sani of Kaduna State that the immediate past administration of Nasir El-Rufai left $587 million, N85 billion debt, and 115 contractual liabilities, making it impossible for the state to pay salaries.
No date has been fixed for the hearing of the suit.
