Senate Summons Ex-NNPCL Boss Kyari, Ajia, Wunti Over Unaccounted N210trn

The Nigerian Senate has summoned the immediate past Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, along with former Chief Financial Officer Umar Ajia Isa and former Group General Manager of NAPIMS, Dr. Bala Wunti, over an alleged N210 trillion that has not been properly accounted for in the company’s financial records between 2017 and 2023.

The Senate committee handling the probe warned that it could issue a warrant of arrest against the former management officials if they fail to honour the invitation when the hearing date is communicated.

The lawmakers also raised concerns over the reported spending of N5 billion by the national oil company on the transition from the Nigerian National Petroleum Corporation (NNPC) to the Nigerian National Petroleum Company Limited (NNPCL).

The decision to summon the former executives was taken during the committee’s meeting held on Thursday.

Chairman of the committee, Senator Aliyu Wadada Ahmed (Nasarawa West), who addressed journalists after the meeting, said the former officials are expected to appear before the committee alongside the current management of the company.

He noted that the appearance of the former management team should be coordinated by the incumbent GCEO of NNPCL, Engineer Bayo Ojulari, and should include the external auditors who handled the company’s accounts during the period under investigation.

According to Wadada, the committee resolved that NNPCL must explain the alleged N210 trillion that appeared in its audited reports as unaccounted funds.

He said the amount comprises N103 trillion linked to Joint Venture cash call expenditures and N107 trillion recorded as subsidy receivables in the company’s financial statements.

“NNPCL should refund the sum of N210 trillion, being the combined amount of N103 trillion and N107 trillion which were not properly accounted for as indicated in the audit reports. The company must give a clear account of the two figures,” he said.

The committee also directed the oil firm to remit to the treasury all production costs charged against crude oil revenue during the period under review.

According to the lawmakers, subsidiaries such as the National Petroleum Investment Management Services (NAPIMS) and the NNPC do not directly produce crude oil, raising questions about the production costs reflected in the accounts.

Wadada further disclosed that the Senate committee had recommended that the Auditor-General for the Federation carry out a forensic audit of NNPCL’s financial statements covering the period under investigation.

The proposed audit, he said, would be conducted in line with Section 85 of the 1999 Constitution of the Federal Republic of Nigeria (as amended).

The senator added that the committee was particularly concerned about the N5 billion reportedly spent on the rebranding of NNPC to NNPCL.

“To us in the committee, this amount is unacceptable and the company must provide satisfactory explanations,” he said.

He explained that the committee arrived at the decision after the company failed to provide convincing answers to 19 queries raised from its audited financial statements.

While the NNPCL had explained that the N103 trillion represented cumulative expenditures by its Joint Venture partners from cash calls between 2017 and 2023, the committee said the response was unsatisfactory.

Similarly, the lawmakers noted that the company’s audited financial statements showed N107 trillion as subsidy-related receivables as of December 2023, which it claimed were owed by banks and other entities.

According to the committee, the two figures together amount to N210 trillion that must be properly accounted for.

Despite the ongoing investigation, the committee reiterated its support for the administration of President Bola Ahmed Tinubu, stating that the probe aligns with the government’s commitment to transparency, accountability, and prudent management of public resources.