Sanusi’s suspension as CBN Governor: What the law states

Central Bank of Nigeria
Central Bank of Nigeria

The CBN Act guides the operations of the bank

The law governing the operations and functions of Nigeria’s Central Bank, CBN, is the CBN Act of 2007.

Gazetted on June 1, 2007, Section 11 of the act deals with how top officials of the CBN – Governor, Deputy Governor, and Director- can lose their positions or be removed from office.

Subsection 2 of the law is about the conditions that can make a CBN governor ‘cease to hold office.’

The suspended Central Bank Governor, Lamido Sanusi, claims President Goodluck Jonathan violated this section in carrying out the suspension. He has vowed to challenge the suspension in court while obeying the directive.

Section 11 of CBN Act:

(1) A person shall not remain a Governor, Deputy Governor or Director of the Bank if he is

(a) a member of any Federal or State legislative house; or

(b) a Director, officer or employee of any bank licensed under the  Banks and Other Financial Institutions Act.

(2) The Governor, Deputy Governor or Director shall cease to hold office in the Bank if he

(a) becomes of unsound mind  or, owing to ill health, is incapable of  carrying out his duties;

(b) is convicted of any criminal offence by a court of competent jurisdiction except for traffic offences or contempt proceedings arising in connection with the execution or intended execution of any power or duty

conferred under this Act or the Banks and Other Financial Institutions Act;

(c) is guilty of a serious misconduct in relation to his duties under this Act;

(d) is disqualified or suspended from practicing his profession in Nigeria by order of a competent authority made in respect of him personally;

(e) becomes bankrupt;

(f) is removed by the President:

Provided that the removal of the Governor shall be supported by two thirds majority of the Senate praying that he be so removed.

  • AT&T

    Let the Legal gymnastics begins.

  • Issei

    The law is talking about sane and democratic environment. not the insane PDP and there unofficial policy of impunity

  • really?

    so GEJ is right then looking at “(f) is removed by the President”. the senate will waste no time in kicking his cattle azs to the desert of Mali (or is it Sudan) where the tuareg hails from.

    • 9jaIsFinished

      ……..”Provided that the removal of the Governor is supported by two thirds magority……….”

      • really?

        yes
        well let see what the senate will do

        • 9jaIsFinished

          Exactly!

    • Pastor

      No wonder you fail your WAEC. If you and Goodluck could not comprehend these few paragraphs before concluding your outright madness.

  • mattyryal

    serious misconduct by Sanusi! it’s here in the law as published by you! what worst misconduct and impunity could one perpetrate than what Sanusi’s done?

    • Mahmoud Lawal

      Punk, read it to the end. It ended with – “Provided that the removal of the Governor shall be supported by two thirds majority of the Senate praying that he be so removed.” Therefore, this removal is ab-initio, unconstitutuional, illegal, reckless and panicky.

  • idn1

    This applies only where there is law and order not in Naija scenario.

  • Fidelis Nwaugba

    Well the law says that the President can suspend the Governor only after two third majority of the senate has approved the suspension or removal. Let’s try to be objective when addressing issues of this kind. The law should be treated with utmost respect or else what we might find in its absence would be impunity and dracronian excesses.

  • Mahmoud Lawal

    Kleptocracy!

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  • Bariwonder Shalamar

    It is funny that the Fed. Govt cited abuse of procurement law as one of the sins of Sanusi. Very unfortunate! The same government is openly abusing the procurement act by refusing to constitute the Procurement Council, thereby making all projects approved under the law illegal! Even the doctrine of necessity that brought Jonathan into power was illegal! Boko haram is also illegal! So, it has been a cycle of illegalities and I dont see it stopping soon! Nigeria is a huge joke walahi!

  • igbiki

    So lets wait and see if the senate supports Mr Jonathan or his act becomes illegal.