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Apr
Apr
NNPCL EMBROILED IN N514 BILLION FRAUD SCANDAL
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CapitalTimesNews / 1 month
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- 2 min read
The Nigerian National Petroleum Company Limited (NNPCL) is facing intense scrutiny after a 2021 auditor-general’s report revealed a massive N514 billion fraud. The report, published in November 2024, exposed unauthorized deductions, misappropriation of funds, and diversion of revenue meant for the Federation. According to the auditor-general, NNPCL deducted N82.9 billion from federation revenue for refinery rehabilitation without proper authorization or approval. The report also highlighted irregular deductions from domestic crude sales, totaling N343.6 billion, to fund various costs, including NNPC value shortfall and pipeline maintenance. The NNPCL’s actions have been deemed a grave violation of the Nigerian Constitution and national anti-corruption laws. The Socio-Economic Rights and Accountability Project (SERAP) has called on NNPCL’s Group Chief Executive Officer, Mele Kyari, to identify those responsible for the disappeared oil money and hand them over to the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC). “The grim allegations by the auditor-general suggest a grave violation of the public trust and the provisions of the Nigerian Constitution, national anti-corruption laws, and the country’s international obligations,” SERAP stated. The auditor-general’s report also revealed that NNPCL failed to provide details of a N3.7 billion transaction with the Pipeline and Product Marketing Company (PPMC). The NNPCL has been recommended to furnish reasons for the unauthorized deductions and recover the lost funds. This scandal comes on the heels of another alleged N3 trillion fuel importation fraud involving NNPCL and its business partners, which has raised concerns about the company’s accountability and transparency.
