Justice Alexander Owoeye of the Federal High Court sitting in Ikoyi, Lagos, has convicted and sentenced one Uzondu Precious Chimaobi to four years imprisonment for refusing to accept the naira as legal tender.

Chimaobi was arraigned by the Lagos Zonal Directorate I of the Economic and Financial Crimes Commission (EFCC) on February 5, 2025, on a two-count charge bordering on the refusal to accept the naira as a legal tender.

One of the counts reads: “That you, Precious Chimaobi Uzondu, on December 10, 2024, in Lagos, within the jurisdiction of this Honourable Court, refused to accept naira (Nigeria’s legal tender) by accepting the sum of $5,700 as payment for a Cartier diamond bracelet with serial number (12345678), and you thereby committed an offence contrary to Section 20 of the Central Bank of Nigeria Act, 2007.”

He initially pleaded not guilty to the charge, which led to a full trial.

The prosecution called its first witness, PW1, Owolabi Oyarekhua Jude, an EFCC operative. Led in evidence by the prosecuting counsel, H.U. Kofarnaisa, Jude told the court that the Commission had received intelligence on the activities of a jewellery company, Unlimited Jewellers Limited, owned by Uzondu Precious Chimaobi.

“The company, which deals in jewellery at Atlantic Mall, Chevron Drive, Lekki, Lagos, intentionally tags and sells its products in dollars, contrary to the CBN Act, 2007, which stipulates naira as the only legal tender in Nigeria,” Jude said.

He further explained that a covert operation was carried out in which an undercover operative posed as a customer to purchase a diamond nail bracelet tagged at $6,000 but eventually bought for $5,700. The company refused payment in naira and insisted on receiving dollars. A receipt was issued in dollars, and the owner was subsequently arrested.

At the resumed hearing on April 14, 2025, the defendant changed his plea from “not guilty” to “guilty.”

Following the plea, Kofarnaisa asked the court to rely on the evidence already given by the investigating officer and to admit the same in convicting the defendant. The defendant’s statement and supporting evidence were then tendered and admitted by the court.

Justice Owoeye adjourned the matter to Tuesday, April 15, 2025, for judgment.

In delivering his verdict, the judge found the defendant guilty. He was given an option of a N50,000 fine on count one. On count two, he was sentenced to four years imprisonment with an option of a N600,000 fine and ordered to forfeit the Cartier diamond bracelet to the Federal Government of Nigeria.