N71.2bn out of N100bn disbursed for student loan diverted - ICPC

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has commenced a comprehensive investigation into alleged discrepancies surrounding the disbursement of student loans under the Nigeria Education Loan Fund (NELFUND).

The spokesman of the commission, Demola Bakare, who disclosed this in a statement on Thursday, May 1, 2025, revealed that only N28.8 billion was disbursed to students in various tertiary institutions instead of N100 billion released to the schools. 

According to the statement, key stakeholders, including the Director-General of the Budget Office and the Accountant-General of the Federation have been invited. 

Bakare also disclosed that senior officials from the Central Bank of Nigeria as well as the Chief Executive Officer and Executive Director of NELFUND were invited to provide documentation and explanations relevant to the case.

This action follows a recent media report alleging that no fewer than 51 tertiary institutions were implicated in illegal deductions and exploitation related to the NELFUND scheme. 

These institutions were alleged to have made unauthorized deductions ranging from N3,500 to N30,000 from each student’s institutional fees received through the loan fund.

Preliminary findings revealed a significant gap in the financial records of the disbursement process. While the Federal Government reportedly released N100 billion for the scheme, only N28.8 billion was disbursed to students, leaving an unaccounted sum of N71.2 billion.

The Commission confirmed that its Chairman’s Special Task Force immediately swung into action upon receiving the report. Letters of investigation and invitations were dispatched to key stakeholders, including the Director General of the Budget Office, the Accountant General of the Federation, and senior officials from the Central Bank of Nigeria.

Additionally, the Chief Executive Officer and Executive Director of NELFUND were invited to provide documentation and explanations relevant to the case According to the Commission, the responses received were critically analyzed, and interviews were conducted with the concerned individuals.