Business

Refinery repairs: SERAP sues NNPC for alleged misuse of N825bn, $2.5bn

Published

9 months ago

July 13, 2025

Refinery repairs: SERAP sues NNPC for alleged misuse of N825bn, $2.5bn

The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against the Nigerian National Petroleum Corporation Limited (NNPCL) over its failure to account for N825 billion and $2.5 billion allegedly allocated for refinery rehabilitation and other oil-related expenditures.

The legal action, marked FHC/L/MISC/722/25, was filed on Friday at the Federal High Court in Lagos.

SERAP said it was acting on the basis of the 2021 audited report by the Auditor-General of the Federation, which was released to the public on 27 November 2024. The report raised concerns that large sums of public funds earmarked for critical oil sector operations may be missing or misappropriated.

In its court filings, SERAP contended that the allegations outlined in the report, along with recent remarks by business magnate Aliko Dangote, suggest serious breaches of public trust and violations of both domestic and international anticorruption obligations.

Dangote, President of the Dangote Group, had stated last week that the country’s refineries may never function properly again, despite a reported $18 billion spent on them over the years.

SERAP argued that allowing such large sums to go unaccounted for would undermine efforts to build transparency and accountability in the oil sector and that the failure to investigate or recover the funds contributes to poverty and economic stagnation.

According to the suit, the Auditor-General raised multiple red flags regarding NNPCL’s handling of refinery and oil-related funds. These include funds withdrawn without sufficient documentation, proceeds from crude oil and gas sales diverted before being remitted to the Federation Account, and various deductions from oil royalties and pipeline maintenance accounts without proper explanations.

The Auditor-General expressed concern that the unexplained transactions could result in funding gaps for the national budget and called for recovery of the amounts in question. He also recommended referring suspected individuals to the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices Commission (ICPC).

SERAP stated that the missing money should be recovered and returned to the treasury, in the interest of ordinary Nigerians who continue to suffer from poor access to energy and deteriorating economic conditions.

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It added that the persistent failure of NNPCL to explain the whereabouts of the funds has eroded public confidence and deprived citizens of benefits from Nigeria’s oil wealth.

In its application, SERAP asked the court to compel the NNPCL to provide a detailed accounting of the funds and to take steps to recover all missing amounts. As at the time of filing this report, NNPCL has not issued any public response to the suit.

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].’”

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“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 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 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.’”

Refinery repairs: SERAP sues NNPC for alleged misuse of N825bn, $2.5bn

Related Topics:Featured NNPC refinery SERAP

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NCC Orders MTN, Other Telcos to Compensate Subscribers for Poor Network Service

Published

2 hours ago

March 30, 2026

Trends Admin

SIM services disruption looms as telcos begin platform migration

NCC Orders MTN, Other Telcos to Compensate Subscribers for Poor Network Service

The Nigerian Communications Commission (NCC) has directed major mobile network operators (MNOs), including MTN, Airtel, Glo, and 9mobile, to compensate subscribers affected by poor network quality in areas where performance falls below regulatory standards. The move is part of a broader shift toward a consumer-focused approach aimed at protecting users and strengthening accountability in Nigeria’s telecommunications sector.

In a statement on Sunday, Nnenna Ukoha, Head of Public Affairs at the NCC, emphasized that subscribers should not bear the full burden of service disruptions caused by operators’ failure to meet prescribed benchmarks. She explained that compensation will be provided in the form of airtime credits, calculated based on subscribers’ average spending patterns and the duration of service outages in affected areas.

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“Erring operators will compensate affected users directly for breaches of quality of service key performance indicators within specified time frames,” Ukoha said. She added that while regulatory fines have traditionally served as a deterrent against poor service delivery, the commission is now adopting a more consumer-centric approach that ensures users directly benefit from enforcement actions.

Under the directive, tower companies and network providers are also required to reinvest fines and penalties into infrastructure upgrades, aimed at addressing coverage gaps and improving overall network quality. Subscribers are encouraged to report service interruptions to their operators and the NCC to ensure timely compensation.

Industry observers have welcomed the move, describing it as a significant step toward empowering telecom users, improving quality of service (QoS), and holding operators accountable for network performance failures. The NCC will monitor compliance closely and take further action against any operators that fail to meet the compensation and service standards.

NCC Orders MTN, Other Telcos to Compensate Subscribers for Poor Network Service

Auto

Motoring World marks 30 years, set to rally industry leaders in Lagos

Published

3 hours ago

March 30, 2026

Trends Admin

Motoring World marks 30 years, set to rally industry leaders in Lagos

Motoring World, one of Nigeria’s foremost automotive publications, will celebrate its 30th anniversary on June 4, 2026, with a high-profile event at the MUSON Centre.

The milestone gathering is expected to draw policymakers, industry leaders, diplomats and innovators to commemorate three decades of impactful journalism, advocacy and contribution to the growth of Nigeria’s automotive sector.

Founded on June 12, 1996, as a syndicated radio magazine programme, Motoring World pioneered automotive broadcasting in Nigeria before expanding into print in 1998. It has since evolved into a multi-platform brand at the forefront of promoting industry development, modernization and policy reform.

Over the years, the publication has gone beyond news reporting to play an active role in shaping regulatory frameworks, encouraging local content development and promoting industry standards.

Publisher and Chief Executive Officer, Femi Owoeye, said the organisation was driven by a clear vision from inception.

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“Motoring World started with a simple vision: to give voice and structure to Nigeria’s automotive industry. Over the years, we have gone beyond reporting to actively advocate policies that support industry growth, local production and a more structured ecosystem,” he said.

Activities lined up for the anniversary include the unveiling of a special 30th anniversary edition of Motoring World magazine, chronicling the evolution, milestones and future of the industry. Distinguished stakeholders with three decades of contributions to the sector will also be honoured.

A keynote lecture titled, “Reporting the Road Ahead: Automotive Journalism as a Catalyst for Nigeria’s Auto Industry Development,” will underscore the critical role of the media in shaping the nation’s automotive landscape.

Dignitaries expected at the event include the Minister of Industry, Trade and Investment, Jumoke Oduwole; the Director-General of the National Automotive Design and Development Council, Oluwemimo Joseph Osanipin; state governors, transport commissioners and members of the diplomatic corps.

Owoeye noted that the anniversary represents more than a celebration.

“This is a tribute to resilience, strong partnerships and the collective drive that has sustained the industry. As we honour key players and reflect on our journey, we are also setting the tone for the next phase of mobility in Nigeria,” he added.

The event promises a blend of reflection, recognition and renewed commitment to advancing Nigeria’s automotive industry.

Motoring World marks 30 years, set to rally industry leaders in Lagos

Auto

Hyundai unveils flagship SUV Palisade, rolls out strong line-up in Lagos showcase

Published

23 hours ago

March 29, 2026

Trends Admin

Hyundai unveils flagship SUV Palisade, rolls out strong line-up in Lagos showcase

Hyundai Nigeria has unveiled the all-new Hyundai Palisade in Lagos, headlining a media showcase that also featured the Hyundai Accent, Hyundai Creta, Hyundai Tucson and Hyundai Santa Fe, as the automaker intensifies its push across key segments of the Nigerian market.

The event, held at the company’s Victoria Island showroom, offered journalists a first-hand view of Hyundai’s expanding portfolio, ranging from entry-level sedans to premium three-row SUVs.

Taking centre stage was the debut of the Palisade, Hyundai’s flagship SUV, positioned to strengthen the brand’s foothold in the premium segment.

With its bold exterior styling, spacious three-row layout, upscale interior and advanced safety and convenience features, the model is targeted at families and executive buyers seeking comfort, space and strong road presence.

Across the line-up, Hyundai showcased a broad spectrum of offerings. The Santa Fe reinforces its appeal as a refined, family-oriented SUV with generous cabin space and premium detailing, while the Tucson stands out for its blend of modern design, practicality and everyday versatility.

In the compact SUV category, the Creta was highlighted for its mix of style, efficiency and urban functionality, while the Accent sedan retains its positioning as a practical and cost-effective option for young professionals, fleet operators and first-time buyers.

Speaking at the event, Brand Head, Hyundai Nigeria, Gaurav Vashisht, said the launch underscores the company’s commitment to deepening its footprint in Nigeria with globally competitive products adapted to local needs.

“This introduction of the all-new Palisade strengthens our premium SUV offering while complementing a well-rounded line-up that delivers on design, safety, innovation and everyday usability,” he said.

The showcase also provided an avenue for media interaction with Hyundai executives and product specialists, alongside detailed vehicle walkarounds covering design, technology and safety features.

Hyundai Nigeria reaffirmed its focus on delivering globally benchmarked vehicles with strong local relevance, even as competition intensifies in Nigeria’s evolving passenger vehicle market.

The event also marked the launch of Hyundai’s Easter campaign, offering customers value-added benefits such as complimentary delivery, accessories, registration and service packages.