ICPC Probes NELFUND Student Loan Disbursement Over Alleged Diversion of N71bn
The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched a full-scale investigation into alleged irregularities in the disbursement of student loans under the Nigeria Education Loan Fund (NELFUND), following reports that ₦71.2 billion is currently unaccounted for.
This move by the anti-corruption agency comes amid allegations that over 50 tertiary institutions engaged in unauthorized deductions from student loans. The deductions, reportedly ranging between ₦3,500 and ₦30,000 per student, were allegedly siphoned from institutional fees paid through NELFUND.
According to a statement released on Thursday by ICPC spokesperson Demola Bakare, the Commission’s preliminary investigation has already revealed major financial discrepancies. While the Federal Government disbursed ₦100 billion to NELFUND for the scheme, only ₦28.8 billion was disbursed to students—leaving ₦71.2 billion unaccounted for.
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The ICPC confirmed that it had swiftly deployed its Chairman’s Special Task Force to investigate the matter. Letters of inquiry were sent to key government agencies and officials, including the Director General of the Budget Office, the Accountant General of the Federation, and senior personnel at the Central Bank of Nigeria.
Officials of NELFUND, including its Chief Executive Officer and Executive Director, were also summoned to provide documentation and clarify their role in the loan disbursement process. The Commission said it critically examined all responses and conducted interviews with the concerned individuals.
According to ICPC findings, as of March 19, 2024, NELFUND had received a total of ₦203.8 billion in funding. The breakdown includes ₦10 billion from the Federation Allocation Account Committee (FAAC), ₦50 billion from the Economic and Financial Crimes Commission (EFCC), and ₦71.9 billion twice from the Tertiary Education Trust Fund (TETFund).
Out of this amount, only ₦44.2 billion has been disbursed to 299 tertiary institutions, with 293,178 students reportedly benefitting from the scheme so far.
The Commission noted that the identified discrepancies point to serious issues in the administration of the student loan program. ICPC further disclosed that its investigation will now extend to the implicated institutions and individual student beneficiaries to trace the missing funds.
Further developments will be made public as the investigation progresses.
By PRNigeria
