Justice Alexander Owoeye of the Federal High Court in Ikoyi, Lagos has sentenced businessman Uzondu Precious Chimaobi to four years in prison for refusing to accept the Nigerian Naira as legal tender. Chimaobi, who owns a jewellery business operating under the name Unlimited Jewellers Limited, was found guilty of conducting transactions exclusively in foreign currency, which is a violation of the Central Bank of Nigeria Act, 2007.
The Economic and Financial Crimes Commission (EFCC), through its Lagos Zonal Directorate 1, filed a two-count charge against him. One of the charges stated that Chimaobi, on December 10, 2024, accepted a payment of $5,700 for a Cartier diamond bracelet instead of the Naira. The transaction took place at his shop located in Atlantic Mall, Chevron Drive, Lekki. By insisting on being paid in US Dollars, he was found to have committed an offence under Section 20 of the CBN Act.
Initially, Chimaobi pleaded not guilty when he was arraigned in court. This led to a full trial, during which the prosecution presented EFCC operative Owolabi Oyarekhua Jude as their first witness. Jude testified that the Commission had received intelligence about the jewelry store’s illegal pricing practices. He explained that the company not only tagged its items in Dollars but also refused to accept payments in Naira, which prompted a covert sting operation.
An undercover EFCC operative posed as a customer and successfully purchased a Cartier diamond bracelet that was priced at $6,000 but negotiated down to $5,700. The transaction was carried out in US Dollars, and a receipt was issued in the same currency. Following the purchase, Chimaobi was arrested and taken into EFCC custody.
During the hearing held on April 14, 2025, Chimaobi changed his plea to guilty. In response, the prosecution counsel, H.U. Kofarnaisa, urged the court to base its judgment on the evidence already presented by the EFCC’s witness. The court accepted this request.
Delivering judgment on April 15, 2025, Justice Owoeye convicted Chimaobi and sentenced him accordingly. On the first count, he was given an option of a N50,000 fine. On the second count, he received a four-year prison term with the possibility of paying a N600,000 fine instead. In addition, his Cartier diamond wristwatch was ordered to be forfeited to the Federal Government of Nigeria.
The case serves as a reminder of the legal obligation to use the Naira for all transactions within Nigeria and reinforces the EFCC’s commitment to enforcing financial laws.
