Legal Opinion: Supreme Court Order On Naira Irrelevant, Non-binding, February 10 Deadline Stays

The Supreme Court’s decision prohibiting the federal government from enforcing the February 10, 2023 deadline for the phase-out of the old N1000, N500, and N200 notes is irrelevant, non-binding, and a diversion, according to a legal opinion on the subject reported by THEWILL.

“The suit brought by the three state governments (Kaduna, Kogi, and Zamfara) did not include the CBN or deposit money banks as parties. The state governments merely took advantage of the Supreme Court’s ability to act as the court of first and final instance in disputes that are solely between the state and the FG. Joining the CBN in the case would revoke the supreme court’s jurisdiction right away, the opinion stated.

“Only the CBN is empowered by Law to determine what is termed legal tender, not the Supreme Court. The Attorney General of the Federation cannot issue a binding order on the apex bank governor or board as the CBN act didn’t contemplate such and the interim order is simply an academic attempt at grandstanding,” the opinion added.

The CBN deadline of February 10, 2023, however, will remain the same, according to senior regulator officials who spoke anonymously to THEWILL. “We are not a party to the suit”, one of the officials said.

According to THEWILL, following the Supreme Court decision, President Muhammadu Buhari met with the Governor of the Central Bank of Nigeria, the Attorney General of the Federation, and some senior government officials. After their meeting, no official statement was made.