“CBN Faces Legal Setback: Court Declares 2015 Termination of Staff Invalid”

In a landmark decision, the Court of Appeal in Abuja has ruled in favor of three former staff members of the Central Bank of Nigeria (CBN), ordering their reinstatement and awarding them N1 million in damages for wrongful termination. Akagwu Audi Yakubu, Idris Auwal, and Daciyal Longji David, who had their employment unjustly terminated in 2015, were victorious in their legal battle against the CBN.

The former CBN employees were dismissed under the vague reason of “service no longer required,” a move they contested in court. Initially, the National Industrial Court (NIC) sided with the CBN in 2018, ruling that the dismissal was justified. However, unsatisfied with this outcome, the appellants, represented by the law firm of Falana and Falana, filed an appeal.

The trio had been part of the highly sensitive “Notes Briquetting” operation, tasked with shredding and safely disposing of old, mutilated currency notes. During an operation between April 22 and 26, 2013, an incident occurred involving the alleged unauthorized removal of a currency box containing N10 million. Although no criminal charges were filed, their employment was terminated in February 2015.

The appellants contested this dismissal, arguing that it violated the Central Bank of Nigeria Act 2007 and the bank’s Human Resources Policies and Procedures Manual (HRPPM), which outline specific procedures for termination. The NIC, however, upheld the CBN’s decision. This led to the appeal that culminated in the January 13, 2025, ruling by Justice Ishaq Mohammed Sani of the Court of Appeal.

The appellate court declared that the CBN’s termination of the appellants was illegal, highlighting that the reason given—“service no longer required”—did not align with the grounds for dismissal specified in the HRPPM. Furthermore, the court emphasized that the appellants’ employment was statutorily protected, and that due process and a fair hearing had not been afforded before their termination.

Justice Sani ruled that the CBN must reinstate the appellants immediately and pay all back salaries, benefits, and allowances from the date of their wrongful termination. Additionally, the court imposed a N1 million cost on the CBN.

The judgment was hailed as a victory for justice, with the appellants’ counsel, Femi Adedeji, praising the decision for reinforcing the rule of law and ensuring that no employer, regardless of their size or power, can act above the law.

The Central Bank of Nigeria has yet to respond publicly to the ruling.