The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched a sweeping investigation into the Nigeria Education Loan Fund (NELFUND) following revelations of major financial discrepancies in the student loan disbursement process.
According to initial findings, while the Federal Government earmarked N100 billion for the student loan scheme, only N28.8 billion has been traced to actual student beneficiaries, leaving a N71.2 billion shortfall yet to be accounted for.
The ICPC reports that 51 tertiary institutions are at the center of the scandal, allegedly imposing unauthorized deductions ranging from N3,500 to N30,000 from students’ loan disbursements.
In a further twist, the anti-graft agency uncovered that NELFUND received a total of N203.8 billion from multiple sources: N10 billion from the Federation Allocation Account Committee (FAAC); N50 billion recovered by the Economic and Financial Crimes Commission (EFCC); N143.8 billion from the Tertiary Education Trust Fund (TETFund)
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“Despite the availability of these funds, only N44.2 billion was ultimately disbursed to 299 institutions, reaching 293,178 students. The ICPC has summoned key government and financial officials to account for the funds, including:
“The Director General of the Budget Offic The Accountant General of the Federation; Senior officials from the Central Bank of Nigeria (CBN);The CEO and Executive Director of NELFUND.
The commission’s Special Task Force has confirmed “clear discrepancies” in the disbursement process and announced the next phase of the probe will target both the beneficiary institutions and individual student recipients to verify the appropriate use of the loans.
Demola Bakare, Director of Public Enlightenment at ICPC, said updates would be made available to the public as the investigation deepens.
