Tuesday 31 January 2017

Central Bank of Nigeria Ran Its Own Corrupt Black Market-Selling Foreign Currency At Alarmingly Fixed Rate

CBN come on, CBN, our Central Bank? No, It has a very big reputation, even the building is intimidating but here it is, allegedly dragged into a messy financial scandal. Reports have revealed an endemic and systematic exchange rate fixing.
The document shows no applicable pattern or matrix used in calculating exchange rates or selecting the companies or individuals who got low or high rates.

Details of this report show that during the month of October 2016 some companies were allocated forex at exchange rates as low as N0.61 to $1 in one particular transaction while others received forex at exchange rates as high as N470 to $1. The report also reveals the allocation of forex to individuals and companies for reasons varying from importation of a variety of products to family maintenance allowances, mortgage payments, medical travel and school fees/other bills associated with educational expenditure.

Abas Alhassan was able to purchase $805.73 at N85.24/$1 to make mortgage payments. In stark contrast, Akintunde Rowland Babatunde purchased $1,972.60 at an exchange rate of N404.84 for the same purposes. In another example, while Jigba Zahradeen Saleh and Nnogo Jane were able to purhcase $ 4,278.65 at N87.52 and $365.68 at N23.04/$1 respectively to pay for educational expenses, Isioma Asiodu Otughwor had to purchase $4,794.41 at N405.22 for the same purpose.

In similar transactions Kennedy Onyeali, Managing Director of All Seasons Mediacom purchased $9,752 at N30/$1 for the importation of an item simply referred to as HF101, while Alhaji Babagana Mohammed Sheriff, who we believe is a nephew to factional chairman of the Peoples’ Democratic Party (PDP) – Senator Ali Modu Sheriff and an in-law of President Muhammadu Buhari, was permitted to purchase $ $35,338.69 at the rate of N101.5/$1 for the importation of an item listed as “invisible”.

Foreigners were also able to benefit from the purchase of forex at low exchange rates. A person simply named as Paula was able to purchase $834.15 at N23.35/$1, while Paula Coetzee was able to purchase $1,563.06 at N23.11/$1. Both transactions were conducted through Stanbic IBTC Bank Plc and were for family maintenance allowances for expatriates.

Similarly William Le Roux and Debra Ann Le Roux were permitted to purchase $13,093.29 and $9,378.37 at N22.63 and N23.11 respectively. Both transactions were conducted through Stanbic IBTC Bank Plc and were for family maintenance allowances for expatriates.


In stark contrast to all this, World Wide Commercial Venture Limited was permitted to purchase $1, 462,480.83 at the rate of N425/$1 to purchase life saving drugs and pharmaceutical products. Its 24 transactions in October 2016 were conducted through Zenith Bank.

No comments:

Post a Comment

Have something to say? Drop a Comment