Old N200, N500, And N1,000 Notes Remains Legal Tender Till December 31 – Supreme Court
The Federal Government’s new naira design strategy has been declared unlawful by the Supreme Court because it was not implemented properly or following constitutional provisions.
The top court subsequently decreed that the old and new naira notes may be used concurrently until December 31, 2023.
The court determined that the three-month deadline was also illegal since it did not follow the Central Bank of Nigeria Act.
Additionally, the top court claimed that when the decision to stop accepting the old naira notes of N1,000, N500, and N200 notes was given on February 10, 2023, President Major General Muhammadu Buhari (retd.) usurped the authority of the CBN.
The defendants’ claim that the court lacked jurisdiction to decide the case was taken into consideration by the court before passing judgment.
According to Judge Agim, the act of the Nigerian president and government is an act of the federation.
The court ruled that the case falls under its original jurisdiction because it involves the states and the Federal Government.
It was decided that to prevent a significant interruption of government activities and trade, the federation’s administration need to have held proper consultations.
The validity of the President’s decision to redesign the naira, release the new notes into circulation, and remove the old notes without consulting Nigerians through the council of states and the National Economic Council was upheld, disproving the claim that the CBN should have been the proper party to be sued.
The court ruled that the CBN does not need to be made a party to the lawsuit since it does not have the authority to implement the policy without the president’s approval and because neither the banks nor the CBN are the targets of the lawsuit.