A former Director of Currency Operations of the Central Bank of Nigeria (CJN) Ahmed Bello Umar told a High Court of the Federal Capital Territory FCT in Maitama on Tuesday that the redesigned naira notes produced under ex-Governor Godwin Emefiele was different from the specification approved by former President Muhammadu Buhari.
Umar, who said he was in office during the naira redesign exercise, said although President Buhari gave approval on October 13, 2022 for a specific design of the N1000, N500 and N200 notes but that the specification approved by the ten President was allegedly altered.
He spoke while testifying in the trial of Emefiele on alleged unlawful printing of naira notes.
Led in evidence by prosecuting lawyer, Rotimi Oyedepo (SAN), Umar said the CBN Act requires that when new notes were to be printed there should be a recommendation of the CBN Board of Directors to the President.
He added that the Act said the President shall approve the form, design and devices on any new currency note to be produced.
The witness said in the last currency redesign exercise, there was a recommendation by the CBN board, which the President approved.
He said the President also approved that the new notes should be produced locally.
The witness noted that what was eventually produced, which are the new 1000, 500 and 200 notes, were different from what the President approved .
When asked to differentiate what was produced from what the President approved, the witness said the notes approved by the President had the “QR code” (Quick Response code).
He added: “The positioning of the portrait on the one approved by the president was on the right side ,while what was produced is on the left.
“The numbering style on the approved notes is different from the one produced.”
Under cross-examination by defence lawyer, Mahmud Magaji ( SAN), the witness said he was the CBN’s Director of Currency Operations during the naira redesign exercise.
He said he was not part of the decision making on the issue of currency redesign, adding that it was wrong for the lawyer to assume that all decisions about currency must have his impute.
“My roles as the Director of Currency Operations include the distribution of notes and replacement of notes that are burnt by fire,
“I do not have powers to award contract for minting of notes.”
Umar said, as the Director of Currency Operations at the CBN, no currency becomes legal tender without his signature and that of the CBN Governor.
He said the three copies of the redesigned notes carry his signature and that of the Governor of the CBN.
The witness said the redesigned currency notes were launched by the President , but that he was not present when the president launched them
Umar said the redesigned notes, which were launched by the President are the ones in circulation now.
The second prosecution witness, Ahmed Halilu who is the Managing Director of
Nigerian Security Printing and Minting Plc confirmed that the specification of the redesigned notes that was approved by President Buhari was altered.
While being led in evidence by Oyedepo, Halilu said he was invited sometimes in October 2022 by Emefiele (then as the CBN Governor) to hso office.
“He told me that he (Emefiele) has the presidential approval for the redesign of the currency. That is the N1000, 500 and 200 notes.
He said Emefiele told him that the currency was to be produced locally.
Halilu said when Emefiele have him the design to be produced, his team at the NSPM Pls noticed that it would be impossible to deliver on the new notes at that time.
He said: “As at October 2022 when the issue of naira redesign came up, it was impossible for us to implement what has been designed.
“We did not produce what was approved. The NSPM Plc suggested then that Delarue of the UK should be engaged to redesign the three higher denominations of 1000, 500, and 200, taking note of the capacity, capability and machineries that we have.”
He said Delarue of the UK was later engaged by the CBN to redesign the notes which were a variation of what was already approved by the President.
When asked to identify the differences in the features of the approved and the altered designs, Halilu said the QR code, the numbering system, and the position of the watermark on the substrate (the paper) in what has been redesigned by Delarue could be compared to the one with the presidential approval…
He added: “It is almost the same with what had been approved by the President.”
The witness further said: “After the Delarue redesigned the notes, Delarue came up with two options. After the redesign, the NSPM submitted them to the CBN Governor for approval.
“One of the options was approved for us to produce and that was what was produced, that is now in circulation.”
Halilu said the CBN Governor, who is the Chairman of the NSPM Plc’s Board of Directors, gave the approval, which was signed by him (the CBN Governor) on 19 October 2022.
The witness said there was was no other presidential approval known to him beside the one in Exhibit E series, which was the earlier one by the President.
The prosecuting lawyer then showed the witness the three copies of the new notes, which he (the witness) confirmed were the ones his company produced.
The three notes were tendered by the prosecution and they were admitted by the court as exhibits.
The witness said Delarue is not a local a company and that Delarue was paid
£205,000, but that the defendant did not show him the presidential approval for the payment.
Under cross examination by Magaji, Halilu said he graduated with a degree in Agriculture in 1990 from the Ahmadu Bello University and that he later got a Masters of Business Administration (MBA) degree from the same school, which is his highest academic qualification.
Halilu said he has no training in printing and had never delivered any paper in printing before his appointment. He added that he is not a professional printer.
He said the NSPM Plc is almost like a subsidiary of the CBN because the apex bank has about 90 percent stake in it.
The witness said the CBN Governor is the board Chairman of the NSPM Plc and that t the CBN is the sole customer of NSPM, as far as currency is concerned.
He added that his organization also has other customers in areas of printing of security documents.
At the conclusion of the cross examination, Justice Maryanne Anenih adjourned further proceedings till September 19.
