Court throws out $12.4bn oil windfall suit

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Written by TUNDE OYESINA- ABUJA
Friday, 30 November 2012

IBB


A Federal High Court sitting in Abuja on Thursday finally dismissed the suit on the controversial $12.4 billion oil windfall recorded by Nigeria under the leadership of retired General Ibrahim Badamasi Babangida between 1988 and 1994.

Six civil society groups, led by the Socio-Economic Rights and Accountability Project (SERAP), under the Fundamental Rights (Enforcement Procedure) Rules 2009 had approached the court seeking to compel the Central Bank of Nigeria (CBN), and the Attorney General of the Federation (AGF), to disclose how the $12.4 billion oil windfall money that accrued to the Federal Government between 1988 and 1994 under the regime of General Ibrahim Babangida was spent.

In his judgment,the presiding judge,Justice Gabriel Kolawole held that the Registered Trustees of Socio - Economic and Accountability Project, SERAP, and two other rights and development based NGOs seeking for the publication of the Okigbo Panel Report, failed to proof the existence of anything like a consolidated and special accounts in the Central Bank of Nigeria where the oil windfall was alegedly paid into and that they also failed to proof how their fundamental rights were infringed upon by the dedicated and special accounts said to be existing at the CBN.

He also held that the suit was statute-barred, as it was not filed within the statutory 12 months period after the Okigbo panel report was produced and further held that SERAP failed to tender the Okigbo panel report in exhibit but only relied on uncertified photocopies from a magazine report on the contents of the Okigbo panel report.

Justice Kolawole held that that documents tendered by the plaintiffs were of no value to the court.

He consequently dismissed the suit.

The court however praised the courage and dedication of SERAP in instituting the matter calling the group a serious minded organisation desirous of ridding Nigeria of all forms of corruption.

He also made no order as to cost. The plaintiffs had asked the court for “an order of mandamus compelling the respondents, individually and/or collectively, to publish detailed statement of account relating to the spending of $12.4 billion oil windfall between 1988 and 1994, and to publish in major national newspapers a copy of the statement of account.”

It is recalled that in 1994, the Federal Government constituted the Pius Okigbo Panel with a mandate to investigate the activities of the CBN and recommend measures for the re-organisation of the apex bank.

In the course of its assignment, the Okigbo Panel reportedly uncovered that about $12.4 billion that was reserved in the ‘Dedicated and Special Accounts’, was depleted to $200 million by June 1994.

Consequent upon the alleged mismanagement of the said $12.4 billion by the then military Head of State, General Ibrahim Babangida, the investigative Panel, recommended an immediate discontinuance of the said ‘Dedicated and Special Accounts’.

The plaintiffs further pleaded the court to order the respondents to not only prosecute anyone indicted by the report, but to also recoup the money from them and return same to the national treasury.

Two separate preliminary objections were raised against the suit by both the AGF and the CBN, the respondents pleaded the court to dismiss the suit on the premise that the plaintiffs were bereft of the locus-standi to approach the court for such reliefs as sought by them.