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Abuja court rules NIBSS’s BVN management does not violate privacy rights
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Judge restrains groups from challenging NIBSS’s statutory powers
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CBN says BVN critical to financial system stability in Nigeria
The Federal High Court in Abuja has affirmed the statutory authority of the Nigeria Inter-Bank Settlement System Plc (NIBSS) to manage the Bank Verification Number (BVN) database across the country.
Delivering judgment on Friday, Justice James Omotosho ruled that NIBSS’s role in maintaining and managing the BVN does not violate the constitutional right to privacy, as alleged by some groups.
The court also held that the Central Bank of Nigeria (CBN), under its Act and the Banks and Other Financial Institutions Act of 2020, is empowered to regulate payment systems and authorise NIBSS to oversee the BVN database.
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The case was filed by NIBSS’s lead counsel, Wolemi Esan, SAN, who sought a declaration that the organisation’s management of BVN data is lawful and a perpetual injunction against groups contesting its authority.
In his ruling, Justice Omotosho stated: “NIBSS has the power to manage the BVN. The initiative does not infringe on the constitutional right to privacy but serves as a necessary tool for safeguarding public interest and financial security.”
The Incorporated Trustees of Digital Rights Lawyers Initiative had filed multiple suits challenging NIBSS’s BVN management, citing alleged privacy violations. However, the court restrained the group and other entities from further contesting the issue.
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CBN’s lead counsel, Kofo Abdulsalam-Alada, argued that NIBSS’s mandate is central to maintaining financial system stability and is backed by Section 47(2) of the CBN Act.
Justice Omotosho declared that the verdict stands as a judgment in rem — binding on all parties except where set aside on appeal.
