ICPC Probes NELFUND Over N71.2bn Discrepancy In Student Loan Disbursement

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched investigations into alleged discrepancies surrounding the disbursement of student loans by the Nigeria Education Loan Fund (NELFUND).

This was disclosed in a statement by the commission on Thursday, stating that the Chief Executive Officer of NELFUND, Akintunde Sawyerr, officials of the Central Bank of Nigeria (CBN), and other concerned parties, have been invited for a hearing amid concerns over an unaccounted sum of N71.2 billion.

The probe was launched following reports alleging that over 51 tertiary institutions were making unauthorised deductions ranging from N3,500 to N30,000 from each student’s institutional fees paid through the loans.

The anti-graft commission emphasised that while the Federal Government reportedly released N100 billion for the scheme, its preliminary findings revealed that only N28.8 billion was disbursed to students, leaving an unaccounted balance of N71.2 billion.

It confirmed that its Chairman’s Special Task Force immediately swung into action upon receiving the report issuing letters of investigation and invitations to key stakeholders, including the Director General of the Budget Office of the Federation, the Accountant General of the Federation, and senior officials from the CBN.

“Additionally, the Chief Executive Officer and Executive Director of NELFUND were invited to provide documentation and explanations relevant to the case,” the Commission added.

The ICPC noted that the responses received were critically analyzed, and interviews were conducted with the individuals concerned.

“The breakdown showed that N10 billion was an allocation from the Federation Allocation Account Committee, N50 billion came from the Economic and Financial Crimes Commission, and N71.9 billion was received twice from the Tertiary Education Trust Fund.

“To date, the total amount disbursed to 299 beneficiary institutions stands at approximately N44.2 billion, with 293,178 students benefiting from the fund,” the statement partly read.

The ICPC maintained that the situation clearly reflected discrepancies in the administration of the student loan scheme, adding that the investigation will now extend to beneficiary institutions and individual student recipients