The Socio-Economic Rights and Accountability Project (SERAP) has filed a suit against the Nigerian National Petroleum Company Limited (NNPCL) for allegedly failing to account for N825 billion and $2.5 billion earmarked for refinery rehabilitation and other oil-related expenditures.
The suit followed the damning allegations documented in the 2021 audited report by the Auditor-General of the Federation, which was published on November 27, 2024.
Aliko Dangote, President of the Dangote Group, also last week said that NNPCL refineries may never work again, despite the $18 billion spent on the refineries.
In the suit number FHC/L/ MISC/722/25 filed last Friday at the Federal High Court in Lagos, SERAP is seeking: “an order of mandamus to direct and compel the NNPCL to account for and explain the whereabouts of the alleged missing N825 billion and $2.5 billion of public funds meant for ‘refinery rehabilitation’ and repair.”
SERAP is also asking the court to direct and compel the NNPCL to recover and remit to the federation account the alleged missing N825 billion and $2.5 billion of public funds meant for refinery rehabilitation and repair.
SERAP is also asking the court to direct and compel the NNPCL to identify those responsible for the missing oil money, surcharge them for the full amount involved, and hand them over to appropriate anticorruption agencies for investigation and prosecution.
In the suit, SERAP is arguing that: “The grim allegations by the Auditor-General and Mr. Aliko Dangote suggest a grave violation of the public trust and the provisions of the Nigerian constitution, national anticorruption laws, and the country’s international human rights and anticorruption obligations.”
SERAP is also arguing that, “granting the reliefs sought would strike a blow against the impunity of those responsible for the missing oil money meant to repair the country’s refineries and ensure that the money is returned for the sake of NNPCL’s victims—Nigerians.
“These grim allegations have also undermined economic development of the country, trapped the majority of Nigerians in poverty, and contributed to high levels of deficit spending by the government.
“The vast majority of Nigerians have seen little benefit from their country’s oil wealth, even as the NNPCL continues to fail to account for the missing billions of dollars that are desperately needed to repair or replace the country’s dysfunctional refineries.
“The Auditor-General has for many years documented reports of disappearance of public funds from the NNPCL. Nigerians continue to bear the brunt of these missing public funds meant for refinery rehabilitation.”
The suit filed on behalf of SERAP by its lawyers, Kolawole Oluwadare, Ms Oluwakemi Oni, and Ms Valentina Adegoke, also reads in part: “The missing oil revenue reflects a failure of NNPCL accountability more generally and is directly linked to the institution’s continuing failure to uphold transparency and accountability principles.
“According to the recently published 2021 audited report by the Auditor General of the Federation (AGF), the Nigerian National Petroleum Corporation Limited (NNPCL) failed to account for over N825 billion and $2.5 billion of public funds meant for ‘refinery rehabilitation’ and repairs, and other oil revenues.
“The Auditor-General fears that the money may be missing.
“The NNPCL reportedly failed to account for over N82 billion [N82,951,595,510.47] meant for ‘refinery rehabilitation and repairs.’ The ‘money was deducted from the sale of crude oil and gas between 2020 and 2021’.
“The Auditor-General fears the money may be missing. He wants the money recovered and remitted to the Federation Account. He also wants the NNPCL ‘to ensure that the amounts due for the Federation Account are not subjected to any deductions before remittance of net.’
“The NNPCL also reportedly failed to account for over N343 billion [N343,642,598,726.51] ‘being proceeds from domestic crude sales.’ The ‘money, meant for ‘pipelines maintenance and management costs, was unilaterally deducted from the gross domestic crude sales.’
“The Auditor-General fears ‘the money may have been diverted.’ He wants the money recovered and remitted to the treasury. He also wants the NNPCL to hand over those suspected to be involved to the EFCC and ICPC.
“The NNPCL also reportedly failed to account for over N83 billion [N83,659,813,739.99] ‘being miscellaneous income from the NNPC joint venture operations from 2016 to 2020.’ The ‘money was withdrawn from the CBN/NNPC sinking fund account [a suspense account].’
“The Auditor-General is concerned that this practice ‘has led the federation to resort to borrowings.’ He wants ‘the money recovered and remitted to the treasury.’”
By Titilope Joseph @Independent
