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Court strikes out suit challenging CBN’s cashless policy

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A federal high court in Lagos has dismissed a suit challenging the legality of the Central Bank of Nigeria (CBN)’s cashless policy.

Akintayo Aluko, the presiding judge, gave his ruling on Friday in a suit filed by one Victor Onyegbado who claimed the policy was unconstitutional, and that it subjected him to restrictions.

The plaintiff asked the court to issue an order of perpetual injunction restraining the CBN from implementing the policy, adding that its implementation violated Section 42 (1) (a) (b) of the constitution.

The CBN, through its legal team led by Fabian Ajogwu, prayed the court to, among others, dismiss the suit for lack of jurisdiction.

In his ruling, the judge held that the CBN was able to prove that its policy was made in good faith.

“It is not in doubt that the defendant by the provision of Section 51 of the CBN Act is imbued with the power to make regulations for the good order and management of the apex bank,” he held.

“The phrase ‘good faith’ has been defined in the Blacks Law Dictionary, the 9th edition at page 762 as ‘faithfulness to one’s duty or obligation, observance of reasonable commercial standards of fair dealing in a given trade or business, absence of intent to defraud or seek unconscionable advantage’.

“The defendant has stoutly made a case of good faith for itself and endeavoured to justify its action in the issuance of the circular in controversy.

“It is in its case that the cashless policy envisaged in the circular is aimed at reducing the amount of physical cash in the circulation in the economy, to encourage more electronic-based transactions, fight corruption and insecurity in the land and strengthen the country’s economy amongst others.

“I have once again examined the circular and the cashless policy prescribed in it. It is obvious that the aims and purpose behind the decision of the defendant accord with the definition given to the phrase “good faith” in the Blacks Law Dictionary.

“I, therefore, agree with the learned senior counsel for the defendant that the action of the apex bank culminating in the issuance of the cashless policy and its implementation can be said to have been done in good faith.

“I hold the considered view that the defendant is entitled to the protections provided in Section 52 of the CBN Act and Section 53 BOFIA.

“Going by the above statutory provisions and having issued the circular dated September 17, 2019, in good faith, the defendant is not answerable to the grievance and claims of the plaintiff and the jurisdiction of this court to entertain the instant claims of the plaintiff is effectively curtailed and given a swipe.

“Against the background of the foregoing, this issue is resolved in favour of the defendant against the plaintiff.

“Coming from the above, I hold the considered view that the case of the plaintiff lacks merit and substance. Same is fundamentally infected with the virus of frivolity and meddlesomeness.

“The plaintiff has failed to prove or substantiate the alleged violation of his fundamental rights or the much-touted infraction of Section 42 (1) (a) of the constitution of the Federal Republic of Nigeria, 1999 (as amended). Remedy over the alleged infraction of the fundamental rights of the plaintiff is not available to him as no such case has been successfully made out by him.

“This suit is accordingly struck out on grounds of incompetence, lack of proof and absence of jurisdiction.”

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Why we did not increase passport fees for Nigerians in diaspora — FG

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The Federal Government has explained its decision to maintain the current passport fee for Nigerians living abroad, unlike the recent increase implemented for those residing in the country.

The Minister of Interior, Olubunmi Tunji-Ojo, made this clarification while speaking to newsmen in Abuja.

Tunji-Ojo explained that the booklet used for Nigerian passports is imported and priced in dollars, meaning that as the naira-to-dollar exchange rate rises, the cost of the passport will also increase.

However, he noted that since Nigerians living abroad already deal in foreign currencies like the dollar, there is no need for an upward revision of their passport fees, so the price remains unchanged for them.

The Minister added that the goal of their ministry is to provide service, and not add to the burden of Nigerians with increase in prices.

“The booklet is imported which is dollar denominated. And at a time when you look at conversion rate of the dollar, there is no way the old price wouldn’t have led to subsidy. As a matter of fact, it was leading to subsidy.

“And we cannot do that. That’s why you realize that we didn’t increase the price of the passport in diaspora because the passport price in diaspora is dollar-dominated. Regardless of exchange, it has no effect.

“We are not looking at making profits off Nigerians. We are looking at serving the people. But when you look at how much a passport is supplied for beyond the logistics and the immigration officers, and convert it to naira, you’ll realize that the price when dollar N400 and when dollar is now N1,600 cannot be the same. That’s why we increased it from N34,000 to N60,000.

“When you look at even the rate of increase in terms of the exchange rate, the rate is lower.We increased to about 45%, but meanwhile the exchange rate has increased even more than that,” Tunji-Ojo said.

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NRC to probe ticket racketeering on Abuja-Kaduna train service

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The Nigerian Railway Corporation (NRC) says it will address allegations of ticket racketeering on the Abuja-Kaduna train service (AKTS).

In a statement on Saturday, Yakub Mahmood, NRC’s deputy director of public relations, said some officials take advantage of the difficulties some passengers have with the online booking platform to engage in ticket racketeering.

He also appealed to the public, especially the passengers, to bear with the NRC, saying that the situation would soon be brought under control.

“Information has reached the management of the NRC on difficulties of passengers in obtaining tickets online resulting in ticket racketeering on the Abuja-Kaduna Train Service (AKTS) in recent times,” NRC said.

He also appealed to the public, especially the passengers, to bear with the NRC, saying that the situation would soon be brought under control.

“Information has reached the management of the NRC on difficulties of passengers in obtaining tickets online resulting in ticket racketeering on the Abuja-Kaduna Train Service (AKTS) in recent times,” NRC said.

“In order to arrest the ugly situation, the management has set up a team headed by the deputy director of ICT to investigate.

“In the meantime, the Managing Director of NRC, Mr Freeborn Okhiria, has directed Mr Mohammed Modibo Ibrahim to report and take over as the Manager of the AKTS with immediate effect.

“The Managing Director also directed the director of operation to increase train service frequencies on the route within the next two weeks.”

On January 22, 2021, the federal government launched the N900 million e-ticketing platform for the online purchase of train tickets on the Abuja-Kaduna service.

NRC said the e-ticketing platform was introduced to reduce the physical contact between passengers and staff of the corporation.

In November, the corporation launched the electronic ticketing platform for the Lagos-Ibadan and Itakpe-Warri train services.

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World Bank okays $1.57bn loan for Nigeria

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The World Bank has approved three new loan requests totalling $1.57bn in financing for Nigeria.

According to a statement released on Monday, the approval is to support the Federal Government in strengthening human capital through better health for women, children and adolescents.

It added that the approved projects would also help build resilience to the effect of climate change such as floods and drought through improving dams safety and irrigation.

The statement read, “The World Bank has today approved three operations for a total of $1.57bn to support the Government of Nigeria in strengthening human capital through better health for women, children and adolescents and building resilience to the effects of climate change such as floods and droughts through improving dam safety and irrigation.”

The international lender stated that this new financing includes $500m for addressing governance issues that constrain the delivery of education and health, $570m for the Primary Healthcare Provision Strengthening Programme and $500m for the Sustainable Power and Irrigation for Nigeria Project.

“The HOPE-GOV and HOPE-PHC programmes combined will support the Government of Nigeria to improve service delivery in the basic education and primary healthcare sectors which are critical towards improving Nigeria’s human capital outcomes.

“The SPIN project will support improvement of dams’ safety and management of water resources for hydropower and irrigation in selected areas of Nigeria.

“The HOPE-GOV Programme will support Nigeria to address underlying governance weaknesses in the systems and procedures of government in two key human development sectors,” it noted.

The approval, made on September 26, 2024, highlights the World Bank’s commitment to strengthening Nigeria’s human capital and building resilience in the face of climate threats.

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