SERAP sues states, Wike for alleged failure to account for loans

Socio-economic Rights and Accountability Project (SERAP) has sued state governors and the Minister of the Federal Capital Territory, Abuja, Nyesom Wike, at the Federal High Court sitting in Abuja over failure to account for N5.9 trillion and $4.6 billion loans obtained by their states and the FCT, and failure to publish copies of the loan agreements, including details and locations of projects executed with the loans.

The suit followed the disclosure last month by Governor Uba Sani of Kaduna State that the immediate past administration of Nasir El-Rufai left $587m, N85 billion debt and 115 contractual liabilities, making it impossible for the state to pay salaries.

In the suit number FHC/ABJ/CS/592/2024 filed at the weekend, SERAP is asking the court to direct and compel the governors and Wike to account for N5.9 trillion and $4.6 billion loans obtained by their states and the FCT and to publish copies of the loan agreements, location of projects executed with the loans.

SERAP is also asking the court to direct and compel the governors and Wike to invite the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to investigate the spending of all the loans obtained to date by their states and the FCT.

In the suit, the organisation argued that it was in the public interest to grant the reliefs sought, saying Nigerians had the right to see and scrutinise the loan agreements and know the details of how the domestic and external loans obtained by the governors and FCT minister were spent .

According to the body, opacity in the spending of the loans obtained by the governors and Wike would continue to have negative impacts on the fundamental interests of the citizens.

SERAP is also arguing that, many states and the FCT are reportedly spending public funds, which may include the loans obtained by them to fund unnecessary travels, buy exotic and bulletproof cars and generally fund the lavish lifestyles of politicians.

It is also arguing that, many states and the FCT are also allegedly mismanaging public funds, which may include domestic and external loans obtained from bilateral and multilateral institutions and agencies.

According to the organisation, transparency in the spending of the loans obtained by the states and FCT is fundamental to increase accountability, prevent corruption, and build trust in democratic institutions to strengthen the rule of law.

The suit was filed on behalf of SERAP by its lawyers Kolawole Oluwadare, Kehinde Oyewumi and Ms Valentina Adegoke.