By Abiola Olawale
The Socio-Economic Rights and Accountability Project (SERAP) has launched a legal battle against the Nigerian National Petroleum Company Limited (NNPCL) for its alleged failure to account for N825 billion and $2.5 billion in public funds earmarked for refinery rehabilitation and other oil related projects.
The lawsuit, filed on Friday at the Federal High Court in Lagos under suit number FHC/L/MISC/722/25, seeks to compel NNPCL to disclose the whereabouts of these funds and recover them for the Federation Account.
The case stemmed from allegations detailed in the 2021 audited report by the Auditor-General of the Federation, published on November 27, 2024.
The report accused NNPCL of failing to provide transparency on significant sums, including over N82 billion deducted from crude oil and gas sales between 2020 and 2021 for refinery repairs.
Alleged additional inappropriate spending involve N204 billion in alleged unjustified deductions from 2021 oil royalties, N3.7 billion allegedly paid for a shortfall in petroleum sales, and N28 billion in outstanding bridging allowances.
Meanwhile, SERAP’s lawsuit, being handled by lawyers Kolawole Oluwadare, Oluwakemi Oni, and Valentina Adegoke, argued that NNPCL’s lack of accountability violated the Nigerian Constitution, national anti-corruption laws, and international obligations, including the UN Convention against Corruption.
The organization is seeking a court order to force NNPCL to identify those responsible for the missing funds and hand them over to the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) 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.”
According to SERAP, “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.”
SERAP is also arguing that, “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.
“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 USD$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.’”
