Senate Demands Answers Over Missing ₦210 Trillion in NNPCL Funds
The Nigerian Senate has taken a decisive step in its investigation into massive financial discrepancies within the country's national oil company, summoning former Nigerian National Petroleum Company Limited (NNPCL) Group Chief Executive Officer Mele Kyari and other top executives to appear before lawmakers. The summons comes in response to audit reports that have flagged a staggering ₦210 trillion that was not properly accounted for in the company's financial records covering the period from 2017 to 2023.
Former Executives Face Senate Committee
Alongside Mele Kyari, the Senate committee has also summoned former NNPCL Chief Financial Officer Umar Ajia Isa and former head of the National Petroleum Investment Management Services (NAPIMS) Bala Wunti. The committee, chaired by Senator Aliyu Wadada Ahmed representing Nasarawa West, has issued a stern warning that arrest warrants could be issued if the former executives fail to appear when formally invited to explain the financial figures contained in the audit reports.
"NNPCL should refund the sum of N210 trillion... which were not properly accounted for as contained in the audit reports," Senator Wadada stated while announcing the committee's resolutions. The lawmakers have made it clear they are not taking this matter lightly, with the financial questions representing one of the most significant investigations into Nigeria's oil sector finances in recent years.
Breaking Down the ₦210 Trillion Figure
At the center of the controversy is a combined figure of ₦210 trillion that has been flagged in financial reviews. According to the Senate committee, this massive amount consists of two major components:
- ₦103 trillion linked to expenditures associated with joint venture cash calls
- ₦107 trillion recorded in NNPCL's audited financial statements as subsidy-related receivables and other debts owed to the company
The committee maintains that these figures require clear and satisfactory explanations, with lawmakers expressing concern that the numbers presented in financial documents raise more questions than answers. One explanation provided by NNPCL suggested that the ₦103 trillion figure represented cumulative spending by joint venture partners related to oil production operations, but the Senate found this response insufficient.
Additional Concerns Over ₦5 Billion Name Change
During committee deliberations, another significant issue emerged regarding the ₦5 billion reportedly spent to change the company's name from the former Nigerian National Petroleum Corporation (NNPC) to the current Nigerian National Petroleum Company Limited. This rebranding occurred following Nigeria's oil sector reforms under the Petroleum Industry Act, which transformed the state-owned corporation into a limited liability company.
Senator Wadada expressed the committee's dissatisfaction with this expenditure, stating, "To us in the committee, this is unacceptable," and demanding satisfactory explanations for the substantial cost attached to the name change process.
Comprehensive Investigation Underway
The Senate committee's decision to summon the former NNPCL leadership followed a thorough review of audit reports that raised multiple financial queries. Lawmakers revealed they had asked the company 19 different questions relating to issues highlighted in those reports, but found the responses provided by the company unconvincing.
Beyond summoning former executives, the committee has recommended a deeper financial investigation, requesting the Office of the Auditor-General for the Federation to conduct a forensic audit of NNPCL's financial statements covering the years under review. This request is based on Section 85 of the Nigerian Constitution, which grants the Auditor-General authority to examine government accounts.
Current Management Involvement and Broader Implications
Interestingly, the Senate has asked the current leadership of NNPCL to accompany the former executives when they appear before the committee. Present Group Chief Executive Officer Bayo Ojulari is expected to lead the delegation, and the committee has also requested that external auditors who worked with the company during the period in question be present at the hearing to explain the audit findings that triggered the Senate's concerns.
While raising serious concerns about the NNPCL accounts, the committee also expressed support for the administration of President Bola Ahmed Tinubu, noting that the investigation aligns with the government's efforts to ensure transparency, accountability, and proper management of public funds. For now, all eyes are on the summoned officials as they prepare to face Senate scrutiny over the ₦210 trillion question that remains unanswered.
