The Federal High Court in Abuja has ordered the Central Bank of Nigeria (CBN) to release information about its schemes designed to sell dollars at subsidised rates, to the Incorporated Trustees of Human Environmental Development Agenda (HEDA) Resource Centre.

Justice M.O. Olajuwon gave the order after the CBN refused to honour the FOI sought by the HEDA Resources Centre on data of beneficiaries of exchange rate differential, especially how much subsidised foreign exchange the apex bank had disbursed through channels such as the Forex Intervention Scheme.

On October 14, 2020, the leading anti-corruption organisation submitted a comprehensive FOI request to the CBN asking for specific details such as disbursed amounts under each scheme, sector-wise breakdown and beneficiary information related to the forex arbitrage.

HEDA wrote to the CBN Governor through the apex bank’s Information Management Division, Freedom of Information Office, seeking the information.

In the FOI, HEDA sought “a detailed breakdown of the schemes created by the Central Bank of Nigeria to sell the dollar at a subsidized rate; the amount that has been given out so far for each scheme; a breakdown of the value per sector; and detailed information on the beneficiaries of the various schemes inclusive of the forex intervention scheme.”

“We believe that the records and details of the above-outlined information made available will aid the investigations being conducted by our organisation on the allegations conveyed in the report under reference,” it read.

But the CBN did not respond to the FOI request, prompting HEDA resource centre to pursue legal action to challenge the CBN’s denial.

The apex bank, in response, filed a Notice of Preliminary Objection on November 3, 2021, but the court ultimately dismissed it.

The CBN later submitted a counter-affidavit on February 2, 2022, denying possession of the requested information.

HEDA, through its lawyer Seidu Mohammed, countered with a further affidavit and a Reply Address on February 18, 2022, supported by 11 exhibits.

The exhibits, obtained from the CBN’s website, included circulars illustrating the provision of concessional exchange rates for pilgrims’ Travel Allowance (PTA).

However, the court in suit number FHC/ABJ/CS/1622/2020, deemed the exhibits as substantial evidence supporting HEDA Resource Centre’s claim that the CBN had indeed been providing foreign exchange subsidies.

As a result, the court held the CBN responsible for producing reports regarding the extent of its involvement in these schemes, including information from banks regarding the beneficiaries.

Ruling in favour of HEDA, the court emphasised the vital role of public access to information and records in ensuring accountability, transparency, citizen participation, and good governance within a democracy.

The court unequivocally asserted that all institutions and government agencies must comply with the provisions of the Act in the interest of justice, transparency, and national development.

It also issued a compelling order to the CBN, a public institution, to disclose the information requested by HEDA in their FOI request.

The court deemed the CBN’s failure to provide the information as unlawful, resulting in an order of Mandamus to release the requested information outlined in HEDA’s FOI request dated October 14, 2020.

The judgement, however, represents a significant milestone in enforcing transparency and accountability within public institutions, underscoring the imperative of complying with the Freedom of Information Act to foster good governance and combat corruption

Recall that the Freedom of Information (FOI) Act was established precisely to promote transparency and combat corruption.