The Supreme Court has temporarily halted the Federal Government and CBN’s ban of old N1000, N500 and N200 notes after February 10, 2023.
The ban was extended from January 31 to February 10, as scarcity of the new bank notes sparked protests and crisis across Nigeria.
Long queues continue to form across banks in the country; and PoS operators are still dispensing the old notes to angry customers. Anti-corruption agencies continue to crackdown on banks hoarding the new currency notes, but the scarcity is yet to abate.
The CBN had declared and restated that the old notes will cease to be legal tender on February 10.
A seven-member panel of the apex court led by Justice John Okoro, has now halted the move of the federal government in a ruling in an ex parte application brought by the three northern states of Kaduna, Kogi and Zamfara.
The three states had specifically applied for an order of Interim Injunction restraining “the federal government through the Central Bank of Nigeria (CBN) or the commercial banks from suspending or determining or ending on February 10, 2023, the time frame with which the now older version of the 200, 500 and 1,000 denomination of the Naira may no longer be legal tender pending the hearing and determination of their motion on notice for interlocutory injunction.”
Moving the application on Wednesday, counsel to the applicants, Mr A. I. Mustapha, SAN, urged the Supreme Court to grant the application in the interest of justice and the well-being of Nigeria.
He stated that the policy of the government had led to an “excruciating situation that is almost leading to anarchy in the land.”
Referring to a CBN data which puts the number of people without bank accounts at over 60 percent, Mustapha lamented that the few Nigerians with bank accounts can’t even access their monies from the banks as a result of the policy.
He thereafter argued that unless the Supreme Court intervenes, the situation will lead to anarchy because most banks are already shutting down operations.
Delivering ruling in the motion, Justice Okoro held that after a careful consideration of the motion ex parte “this application is granted as prayed.
“An order of Interim Injunction restraining the federal government through the Central Bank of Nigeria (CBN) or the commercial banks from suspending or determining or ending on February 10, 2023, the time frame with which the now older version of the 200, 500 and 1,000 denomination of the Naira may no longer be legal tender pending the hearing and determination of their motion on notice for interlocutory injunction.”
The Judge thereafter adjourned hearing of the main suit to February 15, 2023.
By this ruling, the old Naira notes continue to be legal tender in Nigeria beyond Feb 10 and until Feb 15.