The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has uncovered a staggering ₦71.2 billion shortfall in the disbursement of student loans under the Nigeria Education Loan Fund (NELFUND), raising alarms over large-scale financial mismanagement in Nigeria’s tertiary education sector.
Speaking in Abuja on Thursday, ICPC spokesman Demola Bakare revealed that although the Federal Government allocated ₦100 billion for the scheme, only ₦28.8 billion was confirmed to have reached student beneficiaries, leaving a significant portion unaccounted for.
Key Developments:
- Stakeholder Investigation: The ICPC has summoned high-level stakeholders, including:
- Director-General of the Budget Office
- Accountant-General of the Federation
- Senior officials of the Central Bank of Nigeria
- CEO and Executive Director of NELFUND
- Background Trigger: The probe was launched following a warning by Lanre Issa-Onilu, Director-General of the National Orientation Agency, who accused 51 tertiary institutions of undermining the federal student loan scheme through illegal deductions and fee exploitation.
- Unauthorized Deductions: Reports indicated that institutions were illegally deducting between ₦3,500 and ₦30,000 per student from tuition fees disbursed through the fund.
Findings So Far:
- Total Funds Received by NELFUND (as of March 19, 2024): ₦203.8 billion, comprising:
- ₦10 billion from the Federation Allocation Account Committee (FAAC)
- ₦50 billion from the Economic and Financial Crimes Commission (EFCC)
- ₦71.9 billion (x2) from the Tertiary Education Trust Fund (TETFUND)
- Actual Disbursement: ICPC data shows that ₦44.2 billion has been disbursed to 299 institutions, benefiting 293,178 students—leaving a serious discrepancy between the approved allocation and actual funds received by students.
Next Steps:
The agency promises regular updates as the investigation unfolds.
The ICPC has initiated a full-scale investigation into the disbursement process and the individual recipient institutions and students.
