The Socio-Economic Rights and Accountability Project (SERAP) has escalated its battle for transparency and accountability in governance by filing a lawsuit against the governors of the 36 states of the Federation and the Minister of the Federal Capital Territory, Nyesom Wike. The lawsuit, numbered FHC/ABJ/CS/592/2024, was submitted on Friday by SERAP’s legal team at the Federal High Court, Abuja.
The lawsuit comes in response to the failure of these government officials to provide an account of, and disclose the agreements pertaining to, the substantial loans acquired by their respective states and the FCT. Specifically, SERAP demands clarity on the N5.9 trillion and $4.6 billion loans obtained by the states and the FCT, respectively.
According to a statement released by SERAP and made available to PUNCH Online on Sunday, the organization insists that the court direct the governors and Mr. Wike to furnish details of the loans and publish copies of the loan agreements, along with information on the projects executed with these funds.
This legal action follows SERAP’s previous demand, articulated in a statement issued by the organization’s Deputy Director, Kolawole Oluwadare, on March 31st, 2024. The gravity of the issue is underscored by statements from Kaduna State Governor, Uba Sani, who, on May 29th, 2023, highlighted the burden of debt inherited from his predecessor,Nasir El-Rufai.
In addition to seeking transparency, SERAP urges the court to involve anti-corruption agencies in investigating the expenditure of all loans obtained by the states and the FCT. The organization argues that such scrutiny is imperative given the public interest and the potential for misuse of funds.
Furthermore, SERAP emphasizes the necessity of transparency in expenditure to foster accountability, prevent corruption, and build trust in democratic institutions. The organization asserts that the lack of transparency in spending public funds, including loans, contributes to poverty, underdevelopment, and the absence of essential public services.
While a date for the hearing is yet to be scheduled, SERAP underscores the urgency of addressing the issue, citing the significant debt burden faced by the states and the FCT. According to figures from the Debt Management Office, the total public domestic debt portfolio for the states and the FCT stands at N5.9 trillion, with an additional $4.6 billion in external debt.
SERAP contends that without transparency and accountability, these loans remain vulnerable to corruption and mismanagement. As such, the organization insists that government officials have a responsibility to ensure transparency and accountability in the expenditure of loans to mitigate the risk of corruption and mismanagement.
By Sonia Enoma
Correspondent
