A Federal High Court sitting in Ikoyi, Lagos, has sentenced one Uzondu Precious Chimaobi to four years in prison for refusing to accept the Naira as legal tender in a business transaction, in violation of the Central Bank of Nigeria (CBN) Act, 2007.
Justice Alexander Owoeye delivered the ruling on Tuesday, April 15, 2025, following Chimaobi’s change of plea from “not guilty” to “guilty” in a two-count charge brought against him by the Economic and Financial Crimes Commission (EFCC).
According to the EFCC, Chimaobi, who owns Unlimited Jewellers Limited located at Atlantic Mall, Chevron Drive, Lekki, Lagos, conducted his jewelry business in US dollars rather than the official Nigerian currency.
In one of the counts, Chimaobi was accused of accepting $5,700 as payment for a Cartier diamond bracelet on December 10, 2024, thereby contravening Section 20 of the CBN Act.
During trial, the EFCC presented evidence through its operative, Owolabi Oyarekhua Jude, who testified that an undercover operation revealed the company’s insistence on dollar payments. A sting operation resulted in the purchase of the bracelet, for which a receipt was issued in US dollars.
After Chimaobi changed his plea to guilty, prosecution counsel H.U. Kofarnaisa tendered supporting evidence including the defendant’s statement, which the court admitted.
Justice Owoeye found Chimaobi guilty on both counts. On count one, he was given an option of a N50,000 fine. On count two, he was sentenced to four years’ imprisonment or a fine of N600,000. Additionally, the court ordered the forfeiture of the Cartier diamond wristwatch to the Federal Government.
The ruling underscores the legal obligation of businesses in Nigeria to transact using the Naira, the country’s sole legal tender.
