Group Raises Alarm Over Allegedly Diverted ₦94.4 Billion Oil Funds

Group Raises Alarm

 

OpenLife News reports that the Socio-Economic Rights and Accountability Project (SERAP) has raised alarm over allegedly diverted ₦94.4 billion oil funds, urging President Bola Tinubu to order a full accounting and prosecution.

SERAP said the grave allegations are documented in the 2024 (Volume 2) Annual Report published by the Auditor-General of the Federation on 7 August 2026, covering periods between January and December 2023 and ending on 31 December 2024.

In a letter dated 3 October 2026 and signed by its deputy director Kolawole Oluwadare, SERAP urged the President to direct the Midstream and Downstream Gas Infrastructure Fund (MDGIF), Abuja and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to urgently account for over ₦94.4 billion in public funds reportedly diverted, unremitted, unaccounted for or irregularly spent.

Breakdown of ₦94.4bn Allegedly Diverted Funds

According to the Auditor-General’s report cited by SERAP:

₦26.549bn: MDGIF failed to remit revenue from sale of petroleum products between Jan 1, 2022 and Dec 31, 2024. Auditor-General feared money may have been diverted.

₦38.610bn: NUPRC failed to remit gas-flaring penalties collected and due to MDGIF.

₦12.480bn: MDGIF failed to remit and report gas-flaring penalties for 2023, violating section 52(8) of Petroleum Industry Act 2021.

₦12.940bn: MDGIF failed to collect and account for revenue from 2024 sales of natural gas.

₦3.518bn: MDGIF paid a consultant to recover gas-flaring penalties without presidential approval, with no evidence of due process. Auditor-General feared diversion.

₦261.8m: MDGIF spent to engage Transaction Advisors with no evidence of job execution.

₦65.8m: MDGIF spent to engage Transaction Advisors in August 2024 without due process, violating procurement procedures.

The Auditor-General warned that failure to remit gas-flaring penalties creates risks of shortage of funds for environmental remediation and potential civil crisis from non-remediation of environmental hazards.

SERAP’s Demands

SERAP urged President Tinubu, in his dual role as Minister of Petroleum Resources, to:

Direct anti-corruption agencies to promptly investigate the ₦94.4bn and prosecute anyone responsible where sufficient evidence is established, and ensure recovery and remittance of all funds.

Direct MDGIF to submit and publish its audited financial statements for 2022, 2023 and 2024 and forward them to Public Accounts Committees of National Assembly.

Direct MDGIF and NUPRC to publish a clear schedule showing amounts due, collected, remitted and recovered, dates, officials responsible and accounts paid into.

“Anyone found responsible should be appropriately sanctioned and prosecuted where sufficient admissible evidence is established, irrespective of status, position or institutional affiliation,” SERAP said.

The group  added that “Every naira identified in the Auditor-General’s report must be properly accounted for, and any oil funds found to have been diverted, misapplied, improperly spent or otherwise unaccounted for must be fully recovered and remitted to the Treasury.”

SERAP said failure to account for petroleum-product revenues, natural-gas sales and gas-flaring penalties undermines public confidence and creates risk that funds meant for lawful purposes, including environmental remediation, may have been lost.

It also cited repeated failures of basic financial controls, including lack of documentation, payments without evidence of work, procurement without approvals, and failure to publish audited statements for three consecutive years, which undermines legislative oversight.

Citing Sections 13, 14 and 15(5) of the 1999 Constitution, and Nigeria’s obligations under UN Convention against Corruption and AU Convention on Preventing and Combating Corruption, SERAP gave the government seven days to act.

“We would be grateful if the recommended measures are taken within seven days of the receipt and/or publication of this letter.

“If we have not heard from you by then, SERAP shall consider appropriate legal actions and other lawful measures to compel your government, the MDGIF, NUPRC and other relevant authorities to comply with our requests in the public interest,” the group said.