- By Halimah Olamide
Nigerian advocacy group, the Socio-Economic Rights and Accountability Project (SERAP) on Sunday called for a suspension of the implementation of increase in Automated Teller Machine (ATM) transaction fees to be paid by bank customers.
SERAP said this is pending the hearing and determination of the lawsuit before the Federal High Court, Lagos challenging the legality of the increase.
The organisation called on President Bola Tinubu to direct, Governor of the Central Bank of Nigeria (CBN) Mr. Olayemi Cardoso, to suspend the implementation.
It also urged him to seek legal advice from the Attorney General of the Federation and Minister of Justice, Mr Lateef Fagbemi, SAN on whether the CBN has the legal responsibilities to uphold the rule of law its operations by suspending the ATM fee hike, pending the determination of lawsuit on the matter.
The group’s position was contained in a statement made available to the NPO Reports where it reminded all that it had last month filed a lawsuit against the CBN over alleged failure to reverse what it called the “patently unlawful, unfair, and unjust increase in ATM transaction fees.”
Its statement was signed by the Deputy Director, Kolawole Oluwadare.
It explained that its lawsuit followed the announcement by the CBN that ATM withdrawals made at a machine owned by a bank but outside its branch premises will now attract a charge of N100 per N20,000 withdrawn. ATM withdrawals at shopping centres, airports or standalone cash points, will incur a N100 fee plus a surcharge of up to N500.
In the open letter dated 1 March 2025 and signed by SERAP deputy director Kolawole Oluwadare, the organisation said: “Directing the CBN to suspend the ATM fee hike would allow the Federal High Court to hear and determine the case on its merit.”
SERAP said, “It would also be entirely consistent with the letter and spirit of the Nigerian Constitution 1999 [as amended], your oath of office and oft-repeated promises to uphold the rule of law.”
According to SERAP, “Implementing the ATM fee hike while the lawsuit on the matter is pending before the Federal High Court would make a mockery of the judicial process and the rule of law.”
SERAP also said, “The CBN is bound to suspend the increase in ATM transaction fees, and await the outcome of the lawsuit.”
The letter, read in part: “The CBN has the responsibilities to uphold the due process of law, protect the integrity of the judicial process, and ensure that its practices and operations do not make nonsense of the rule of law or the Court.”
“The CBN has the duty to maintain the status quo as of 26 February 2025 when the court processes were duly served on it, and during the pendency of the lawsuit filed by SERAP on the ATM fee hike before the Federal High Court, Lagos.”
“Once the CBN has been duly served with the court processes on the ATM fee hike, the bank cannot resort to self-help.”
“The CBN is not permitted to do or take any action or omission that would overreach the public interest or foist a situation of complete helplessness or ‘fait accompli’ on the Federal High Court.”
“Nigerian courts frown upon any act of self-help and are always swift in repelling such conduct by sending strong signal that they are not being used as mere subterfuge to tie the hands of one party while the other helps himself extra-judicially.”
SERAP said the CBN ought to uphold its general duty to act in good faith, adding it must refrain from taking any action that may undermine the integrity of the country’s judicial process.
“We would be grateful if the recommended measures are taken urgently to ensure respect for the integrity of the judicial process and the rule of law.”
“It is in the public interest to keep the streams of justice clear and pure, and to maintain the authority and integrity of the court in the case.”
“The court processes were duly served on 26 February 2025 on the CBN in Abuja. The CBN has acknowledged receipt of the processes.”