SERAP Sues NNPCL for Unaccounted N825bn, $2.5bn

The Socio-Economic Rights and Accountability Project, SERAP, have sued the NNPCL over the failure to account for and explain the whereabouts of the alleged missing N825bn and $2.5bn meant for refinery repairs.

The suit followed the damning allegations documented in the 2021 audited report by the Auditor-General of the Federation, which was published on 27 November 2024. Aliko Dangote, president of the Dangote Group also last week said that NNPC refineries may never work again, despite the $18 billion spent on the refineries.

In the suit number FHC/L/MISC/722/25 filed last Friday at the Federal High Court in Lagos, SERAP is arguing that, “The grim allegations by the Auditor-General [and by Mr Aliko Dangote] suggest a grave violation of the public trust and the provisions of the Nigerian Constitution, national anti-corruption laws, and the country’s international obligations.”

SERAP is also arguing that, “granting the reliefs sought would strike a blow against the impunity of those responsible for the missing oil money meant to repair the country’s refineries and ensure that the money is returned for the sake of NNPCL’s victims – Nigerians.”

SERAP also argues that, “These grim allegations have also undermined economic development of the country, trapped the majority of Nigerians in poverty, and contributed to high levels of deficit spending by the government.”

SERAP is also arguing that, “The vast majority of Nigerians have seen little benefit from their country’s oil wealth, even as the NNPCL continues to fail to account for the missing billions of dollars that are desperately needed to repair or replace the country’s dysfunctional refineries.”

The suit, read in part: “According to the recently published 2021 audited report by the Auditor General of the Federation (AGF), the Nigerian National Petroleum Corporation Limited (NNPCL) failed to account for over N825 billion and USD$2.5 billion of public funds meant for ‘refinery rehabilitation’ and repairs, and other oil revenues.”

“The Auditor-General fears that the money may be missing.”

“The NNPCL reportedly failed to account for over N82 billion [N82,951,595,510.47] meant for ‘refinery rehabilitation and repairs.’ The money was deducted from the sale of Crude Oil and Gas between 2020 and 2021.”

“The Auditor-General fears the money may be missing. He wants the money recovered and remitted to the Federation Account. He also wants the NNPCL ‘to ensure that the amounts due for the Federation Account are not subjected to any deductions before remittance of net.’”

“The NNPCL also reportedly failed to account for over N343 billion [N343,642,598,726.51] ‘being proceeds from domestic crude sales.’ The ‘money, meant for ‘pipelines maintenance and management costs, was unilaterally deducted from the gross domestic crude sales.’”

“The Auditor-General fears ‘the money may have been diverted.’ He wants the money recovered and remitted to the treasury. He also wants the NNPCL to hand over those suspected to be involved to the EFCC and ICPC.”

“The NNPCL also reportedly failed to account for over N83 billion [N83,659,813,739.99] ‘being miscellaneous income from the NNPC joint venture operations from 2016 to 2020.’ The ‘money was withdrawn from the CBN/NNPC sinking fund account [a suspense account].’”

“The Auditor-General is concerned that this practice ‘has led the Federation to resort to borrowings.’ He wants ‘the money recovered and remitted to the treasury.’”

“The NNPCL also reportedly failed to account for over N204 billion [N204,853,744,047.39] ‘being unjustified deductions from the oil royalties for 2021.’ The money was due to the Department of Petroleum Resources (DPR), now the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).’ The Auditor-General fears ‘the money may have been diverted.’ He wants the money recovered and remitted to the treasury.”

“The NNPCL also reportedly failed to account for over N3.7 billion [N3,748,581,281.27] ‘being money purportedly paid to a Company as a shortfall on sales of MT cargo of PMS.’ The Auditor-General fears the money may be missing. He wants the money recovered and remitted to the treasury.”

“The NNPCL also reportedly failed to account for over N28 billion [N28,654,179,867.00] ‘being outstanding bridging allowance from NNPC retail for 2021.’”

“The NNPCL failed to account for over N13.5 billion [N13,5559,658,148.91] ‘being outstanding bridging allowance claims from three major oil marketers in 2021.’”

“The Auditor-General is concerned that this ‘may have resulted in difficulty in funding the 2021 budget.’ He wants ‘the money recovered from both the NNPC retail and the major oil marketers and remitted to the Federation Account.’”

“The NNPCL also reportedly failed to account for over N15 billion [N14,134,947,949.80 and N1,087,533,332.62] ‘being outstanding revenues from debts owed by twenty-six marketers for 2021.’ The Auditor-General wants ‘the money recovered from the oil marketers and remitted to the Federation Account.’”

“The NNPCL reportedly failed to account for over $29.6 million [$29,648,970.36] being outstanding royalties payable to the Department of Petroleum Resources CBN account.’ The Auditor-General is concerned that this ‘may have resulted in difficulty in funding the 2021 budget.’ He wants the money recovered.’”

“The NNPCL failed to collect over $2 billion [$2,260,448,992.45] ‘being outstanding oil royalties from oil companies for 2021’, and failed to collect over N48 billion [N48,218,163,192.67] ‘also being outstanding oil royalties from oil companies.”