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CBN snubs supreme court, launches portal for collection of old naira notes

 


Central Bank of Nigeria (CBN) has created a portal for the collection of the old naira notes as it looks to begin its currency redemption exercise.

 

It was observed that the CBN published a notification titled ‘redemption of currency’ on its website on Wednesday.

 

The notification provides a link to the portal to enable Nigerians redeem (deposit) their old N1,000, N500, and N200 notes by completing an online form.

 

“Please click here to create your profile, generate reference and print out receipt for you to proceed to nearest CBN branch to deposit your old N1000, N500 and N200 notes into your bank account,” it reads.

 

To generate a reference number, according to CBN, customers are required to provide their bank verification number, email address, phone number, bank account details, depositor information (including house address), and the total amount of the denomination to be redeemed.

 

After following the process in attempts to create a profile and generate a reference number, a notification popped up listing ‘conditions for redemption of currency’.

 

Part of these conditions (which Nigerians must accept) is that “depositors can only access this window once”.

 

The apex bank also said “beneficiary accounts would only receive value after successful processing of cash deposited and verification of documentations submitted”.

 

“A depositor shall not be entitled to recover from the bank the value of any mutilated or imperfect notes. The circumstances under which such notes may be refunded ex-gratia shall be within the absolute discretion of the bank,” it added.

 

“Depositors can check the status of transaction on the portal here.

 

“Transactions would be concluded within a minimum of three working days.

 

 “All deposits will be treated in accordance with the relevant laws.”

 

Last week, the supreme court restrained the federal government and, by extension, the CBN from enforcing the February 10 deadline when the old naira notes were expected to cease to be legal tender, pending hearing on the matter slated for Wednesday (today).

 

Responding to the ruling, Abubakar Malami, attorney-general of the federation (AGF), said the federal government would obey the order in line with the rule of law — a decision that meant that Nigerians would still be able to transact with the old notes.

 

Earlier today, the supreme court restated its stance on the matter, saying the notes remain legal tender after it adjourned proceedings on case.

 

However, the commencement of the currency redemption exercise by the CBN suggests that the old naira notes have lost their legal tender status after the deadline elapsed.

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