*All old naira notes remain legal tenders until December 31, 2023
By Emeka Ugwuanyi
The Supreme Court has reversed ban on use of the old N200, N500 and N1000 banknotes as legal tenders by the Central Bank of Nigeria (CBN), which was backed by the Federal Government.
The apex court, in a unanimous decision by a seven-member panel of Justices, held that the old banknotes should remain valid legal tenders until December 31, 2023.
The Supreme also ruled that all denominations of the old Naira notes should circulate and used alongside the newly redesigned naira notes.
The apex bank criticized President Muhammadu Buhari for introducing the demonization policy, without due consultation with the Council of States, the Federal Executive Council, the Civil Society and other relevant stakeholders.
In the lead judgement that was delivered by Justice Emmanuel Agim, the apex court accused President Buhari of disobeying its interim order that halted the full implementation of the new monetary policy.
Justice who read the lead judgement, held that the preliminary objections by the defendants (the Attorney General of the Federation, Bayelsa and Edo states) are dismissed as the court has the jurisdiction to entertain the suit.
Citing Section 23(2)1 of the constitution, the court held that the dispute between the Federal Government and states must involve law or facts. It further held that President Muhammadu Buhari, in his broadcast, admitted that the policy is flawed with a lot of challenges.
The court said the policy has led to some people engaging in trade by barter in this modern age in a bid to survive. The court added that the President’s disobedience of the February 8 order is a sign of dictatorship.
Sixteen states of the Federation instituted the suit to challenge the legality or otherwise of the introduction of the policy. The suit initially instituted by Kaduna, Kogi and Zamfara states has been slated as the first case on the cause list for a final verdict.
Justice John Inyang Okoro, who led a seven-man panel of Justices of the Court, had on February 22 fixed March 3 for the court to make its decision known on the suit.
