Socio-Economic Rights and Accountability Project (SERAP) has taken legal action against Nigerian governors and the Minister of the Federal Capital Territory (FCT), Mr Nyesom Wike, for their alleged failure to account for a sum of N5.9 trillion and $4.6 billion in loans obtained by their respective states and the FCT.
The lawsuit, filed at the Federal High Court, Abuja, follows a recent disclosure by Governor Uba Sani of Kaduna State, revealing the dire financial situation left by the previous administration, including a debt of $587 million and N85 billion, making it challenging for the state to meet its financial obligations, including salaries.
SERAP’s suit demands transparency and accountability, urging the court to compel the governors and Mr Wike to disclose copies of the loan agreements and provide details on the projects executed with the borrowed funds. Furthermore, SERAP calls for an investigation by the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) into the spending of these loans.
SERAP asserts that transparency in loan spending is crucial to prevent corruption and build trust in democratic institutions. The organization raises concerns about the reported mismanagement of public funds, including extravagant spending on luxuries while essential services suffer.
The lawsuit argues that the public has the right to know how these loans are utilized, especially considering the huge debt burden faced by many states and the FCT, which impacts the delivery of basic services like education and healthcare.
According to SERAP, the lack of transparency in loan spending has contributed to widespread poverty and underdevelopment, emphasizing the need for accountability measures to prevent further abuses of public trust.
