The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched a comprehensive investigation into alleged financial irregularities in the Nigeria Education Loan Fund (NELFUND), revealing that N71.2 billion of the N100 billion allocated by the Federal Government remains unaccounted for.
![](https://thenigerialawyer.com/wp-content/uploads/2024/11/TheNigerialawyer-WhatsApp-Channel1.jpg")
The probe, triggered by reports of unauthorized deductions and exploitation by 51 tertiary institutions, has sparked outrage, with the National Association of Nigerian Students (NANS) threatening nationwide protests if the missing funds are not recovered.
In a statement issued on Thursday by ICPC spokesperson Demola Bakare, the commission disclosed that while the Federal Government released N100 billion for the student loan scheme, only N28.8 billion was disbursed to students, leaving a staggering N71.2 billion unaccounted for. Further investigations revealed that NELFUND received a total of N203.8 billion as of March 19, 2023, comprising:
- N10 billion from the Federation Allocation Account Committee (FAAC),
- N50 billion from the Economic and Financial Crimes Commission (EFCC),
- N71.9 billion from the Tertiary Education Trust Fund (TETFund),
- An additional N71.9 billion from TETFund.
Of this amount, only N44,200,933,649.00 has been disbursed to 299 tertiary institutions, benefiting 293,178 students. The remaining N159.6 billion, while not explicitly declared missing, has raised significant concerns about mismanagement. Bakare emphasized that “a clear case of discrepancies has been established in the administration of the student loan scheme,” prompting the ICPC to extend its investigation to beneficiary institutions and individual student recipients.
The probe was initiated following a media report alleging that 51 tertiary institutions made unauthorized deductions ranging from N3,500 to N30,000 from students’ institutional fees funded through NELFUND. The National Orientation Agency (NOA) further alleged that some schools, in collusion with banks, deliberately delayed loan payments to qualified students to profit from the funds.
The ICPC’s Chairman’s Special Task Force acted swiftly, dispatching letters of investigation and invitations to key stakeholders, including:
- The Director General of the Budget Office,
- The Accountant General of the Federation,
- Senior officials from the Central Bank of Nigeria (CBN),
- NELFUND’s Chief Executive Officer, Akintunde Sawyerr, and Executive Director.
Bakare noted that responses were critically analyzed, and interviews were conducted with the concerned individuals. The commission’s findings confirmed significant gaps in financial records, prompting a broader probe into the implicated institutions and student beneficiaries.
The National Association of Nigerian Students (NANS) expressed alarm at the ICPC’s findings, describing the N71.2 billion discrepancy as “a betrayal of public trust” and “a direct attack on the future of Nigerian students.” In an interview NANS National Public Relations Officer Samson Adeyemi demanded swift action, stating:
“The revelation by the ICPC is both alarming and unacceptable. We at NANS are deeply concerned about the alleged collusion between institutions and financial bodies to exploit students through unauthorized deductions and delayed disbursements. Such actions are acts of sabotage against Nigerian youth. We commend the ICPC for launching an investigation, but we demand transparent and public action. Every kobo meant for student welfare must be accounted for, and those found guilty—whether institutions, banks, or government officials—must face the full weight of the law.”
Adeyemi warned that NANS would mobilize students for nationwide protests if the government fails to recover the missing funds and reform the loan scheme’s administration to prioritize student welfare.
In response to the growing scandal, the Federal Ministry of Education has scheduled an urgent meeting on May 6, 2025, with vice-chancellors of the affected universities and NELFUND’s Managing Director. Folasade Boriowo, Director of Press at the Ministry, confirmed the meeting, stating:
“The ministry is convening an urgent meeting to thoroughly investigate the matter, ensure full accountability, and reaffirm the Ministry’s zero-tolerance policy toward financial malpractice in the education sector.”
The meeting aims to address the allegations and chart a path toward transparency in the student loan scheme.
The Academic Staff Union of Universities (ASUU) seized the opportunity to reiterate its longstanding criticism of NELFUND, with National President Prof. Victor Osodeke declaring the ICPC’s findings a vindication of the union’s warnings. In a statement, Osodeke said:
“We are not surprised. We warned about this from the beginning. Now you can see the heavy corruption in just how many years. This is why we said it cannot work. It is another opportunity to steal public funds. When we raise issues, the Nigerian public doesn’t listen to us. You can see what we are talking about. We have been vindicated.”
NELFUND, through a statement reported by BBC News Pidgin, denied allegations of mismanagement, asserting that its fully automated loan system eliminates opportunities for financial misconduct. The agency claimed that all institutional fees are paid directly to verified institutions and upkeep allowances to students’ verified bank accounts, with every transaction digitally tracked and verifiable. NELFUND argued that the figures cited by the ICPC may relate to earlier education financing interventions predating its operational commencement, urging the public to disregard misrepresentations.
However, the ICPC issued a clarification on X, admitting an error in its initial press release, where the word “NOT” was omitted, creating an erroneous impression that no discrepancies were confirmed. The corrected statement reaffirmed that discrepancies were indeed established, and the investigation would proceed.
Interested buyers are encouraged to place their orders and enquiries via:
0704 444 4777, 0704 444 4999, 0818 199 9888
Website: www.alexandernigeria.com
Reimagine your practice with the power of AI “...this is the only Nigerian book I know of on the topic.” — Ohio Books Ltd
Authored by Ben Ijeoma Adigwe, Esq., ACIArb (UK), LL.M, Dip. in Artificial Intelligence, Director, Delta State Ministry of Justice, Asaba, Nigeria.
Bonus:
Get a FREE eBook titled “How to Use the AI in Legalpedia and Law Pavilion” with every purchase.
How to Order: 📞 Call, Text, or WhatsApp: 08034917063 | 07055285878 📧 Email: benadigwe1@gmail.com 🌐 Website: www.benadigwe.com
Ebook Version: Access directly online at: https://selar.com/prv626
_______________________________________________________________________ [A MUST HAVE] Evidence Act Demystified With Recent And Contemporary Cases And Materials
The book, titled The Law of Torts in Nigeria: A Functional Approach, authored by Professor Hagler Sunny Okorie Ph.D and Ikeocha, Nathaniel Ngozi Esq, offers law students, practitioners, and academics a comprehensive guide to understanding and applying tort law in Nigerian courts. Interested buyers can place orders via the following contact numbers: 08028636615, 08037667945, 08032253813, or +234 902 196 2209.
