Naira scarcity: Banks under attack in Ibadan, Warri, Benin, as protesters destroy ATMs, others

Angry protesters have gone on rampage across the country, destroying valuable property belonging to some commercial banks, over continued scarcity of the new Naira notes put in circulation by the Central Bank of Nigeria (CBN).

The development comes barely hours after the Supreme Court had overruled the CBN on its insistence on rendering the old Naira notes as non-legal tender from February 10, despite not adequately making available new ones as replacement.

The CBN had last December, issued new N200, N500 and N1000 notes as replacement for the existing denominations while setting January 31 a deadline for the legality of the old currencies. However, that deadline was shifted to February 10 after which they ceased to be legal tender.

The CBN move has now stranded Nigerians whose complaints against the scarcity of the new notes had fallen on deaf ears, as the regulatory bank proceeded to ban the old notes from circulation.

Earlier Wednesday, the Supreme Court which was delivering its ruling on a February 8 injunction filed by three state governors of Kogi, Zamfara and Kaduna, berated the CBN for continuing with its February 10 deadline for use of the old notes.

Supreme Court of Nigeria had adjourned to Wednesday, February 22 for consolidated hearing of the suit filed by governors Kaduna, Kogi and Zamfara states, challenging the Naira redesign policy of the Federal Government.

This is just as it maintained that its order restraining the Federal Government from further implementation of the Naira swap policy or setting a deadline of February 10 for discarding of the old notes by the Central Bank of Nigeria (CBN) still subsists.

Ruling in the suit, a seven-man panel of Justices led by Justice John Okoro, adjourned the matter after hearing arguments from both counsels, as well as ordering the plaintiffs to amend their originating process to reflect fresh co-plaintiffs, who had recently been joined to the suit.

At the hearing of the suit, Wednesday, counsel to the Kaduna, Kogi and Zamfara states, Abdulhakeem Mustapha (SAN) drew the attention of the court that the Federal Government and its agencies have failed to comply with the order halting the implementation of the Naira swap policy and have allegedly directed the rejection of the old notes.

Mustapha said the plaintiff filed a notice of non-compliance with the order of the court order made on February 8, as he demanded that the court take action against the respondent to protect the dignity of the court.

“That order has been flouted by the government. We are talking of executive lawlessness here. We have filed an affidavit to that effect…We want the court to renew the order for parties to be properly guided.”

Responding, Justice Okoro asked Mustapha to file a proper application to put forward his complaints and to enable the respondent respond appropriately, as he stated that there was no need for a renewal of the court’s order.

According to Justice Okoro, since the order made by the court on February 8 was made pending the determination of the motion for injunctions filed by the plaintiff, it still subsists since the motion was not yet heard.

Justice Okoro told counsel to Mr Abubakar Malami SAN, the Attorney General of the Federal (AGF), Kanu Agabi SAN to advise his client to ensure the availability of currency for the people.

“Tell your client to let people have money. If they go to the ATM and the plaintiffs will come and withdraw the case. Make money available to the poor masses.

“You should know that a hungry man is an angry man. I say no more,” he said.

Responding, Agabi said Nigerians were only blaming the government for their poverty.

“Many people don’t have money. They blame it on the Fed Govt and the AGF. I don’t have money too.

“Things have been bad for long. It is not today that the problems started,” Agabi said.

Justice Okoro, therefore, adjourned to Wednesday 22nd of February for hearing following consensus by parties, even as seven state governments of Sokoto, Ondo, Lagos, Katsina, Cross River, Ogun and Ekiti through their Attorney Generals applied to be joined the list of plaintiffs, as two others states; Bayelsa and Edo joined as defendants.

However, violent protests have already been reported across parts of the country over the naira scarcity, as residents of Ibadan, in Oyo State took to the streets in protest against the hardship triggered by the Naira notes swap and fuel price hike.

The Ibadan protests follow another one in Udu, near Warri, in Delta State over the same matter of Naira scarcity, as well as that in Benin City, Edo State.

The protests were in reaction to banks nationwide refusing the old currency in line with a position taken by the Central Bank of Nigeria (CBN), although the Supreme Court had ruled that the apex bank’s February 10 deadline be suspended temporarily.

There were demonstrations in different parts of Ibadan, such as Mokola, resulting in a gridlock along Eleyele/Eruwa road.

Cars were turned back at some point while some schoolchildren were forced to return home as a result of the protest.

Commercial activities were grounded as the Mokola Road was turned into a football field.

Most major roads were deserted as many residents resorted to trekking long distances.

Some fish sellers took their protest to a private radio station in Ibadan, claiming that they sold all their products on Tuesday, accepting the old notes but on getting to the strongrooms to their bank to deposit the funds, no one was willing to sell to them.

Crowds were seen in front of the CBN office at Dugbe waiting to be attended to in the bid to change old naira notes amid heavy security presence.

In Delta, the ongoing rampage blocked the major highway with bonfires and other objects at their disposal, destroying automated teller machines (ATMs) belonging to some banks in the area.

Angry youths protested the scarcity of the new redesigned naira notes and the rejection of the old notes by people.

The demonstrations first broke out at Orhuwhorun junction in Warri before herding to the expressway.

Part of the buildings of banks were vandalised by the mob who hurled stones and other objects at the premises, prompting bank workers and their customers to scamper for safety.

Meanwhile, the Delta Governor, Ifeanyi Okowa has appealed for calm and patience.

Okowa’s appeal was contained in a statement by the state Commissioner for Information, Charles Aniagwu.

Okowa called on the people to remain calm while also appealing to the Central Bank of Nigeria (CBN) and the monetary authorities to take further steps in increasing the money supply in the system.

“We appeal to our brothers and sisters across the state to keep calm in spite of the current travails they are going through as a result of the scarcity of naira notes in the country,” the statement read in part.

“As a government, we are not unaware of your sufferings but we appeal to you to be patient with the monetary authorities as they take steps to improve the money supply in the country.

“We are very much aware of your pains and concerns, but burning down a bank that employs our people will not augur well for us as a nation even as it will not also solve the problem but will further compound the situation.

“Once again, we appeal to you all to sheath your swords while we continue to engage the cbn to ensure more funds are released to the banks in the country.”

Chaos broke out across various banks on Akpakpava road in Benin City, the Edo State capital, following what some eyewitnesses described as an inability to access cash at the banks.

Bonfires were started by angry residents along the road.

Some of the angry residents claimed that shootings led to the death of some persons who had visited the banks for cash withdrawals.

The Oyo State Police Command said protests broke out in some parts of Ibadan, the state capital, early Wednesday, but were soon brought under control.

“There were pockets of protest this morning by some aggrieved bank customers,” the Command’s spokesperson, Adewale Osifeso, adding that the police were deployed to restore order but no arrests were made.

“Normalcy has since returned as the Command has taken all necessary action to forestall breakdown of law and order.”

Local residents said the unrest started at Dupe, Mokola, Ogunpa, Apata and Iwo Road areas when angry bank customers began protesting because they could not access their money or change old notes to new ones.

“Major roads were blocked while banks, shops and other businesses were shut,” local journalist Remi Feyisipo.

He said the protesters were also angry because traders, petrol stations and transporters were rejecting the old notes for transactions.

Additional reports by AFP/ChannelsTV