The recent Auditor General of the Federation report reveals that the Central Bank of Nigeria, during the previous administration, divided a $134 million transfer to the UK branch of a Nigerian bank to avoid breaching its own guidelines on offshore deposit placement.
The 2020 audit report, delayed by two years, highlights alleged misconduct and a failure in the CBN’s internal control system.
The report suggests that this non-compliance could be viewed as diverting public funds and exposing the CBN to unnecessary risks.
The CBN defends itself, asserting that the exposure to the bank was within approved limits, and the deposit splitting was for liquidity planning, not violation purposes.
The Auditor General directs the CBN to justify its actions to the Public Account Committee of the National Assembly, warning of potential sanctions for gross misconduct as per financial regulations.
