The Senate has reopened investigation into an alleged N210 trillion unaccounted expenditure by the Nigerian National Petroleum Company Limited (NNPCL) between 2017 and 2023.
The upper chamber, through its Committee on Public Accounts, has summoned the immediate past Group Chief Executive Officer (GCEO) of NNPCL, Mele Kyari, former Chief Financial Officer, Umar Ajia Isa, and former Group General Manager of NAPIMS, Dr Bala Wunti, to explain the controversial figures contained in audit reports.
The committee also warned that it may issue arrest warrants against any former NNPCL officials who fail to honour the invitation when the date for the hearing is communicated.
Chairman of the committee, Senator Aliyu Wadada Ahmed (Nasarawa West), disclosed this while briefing journalists after the committee’s meeting in Abuja on Thursday.
According to him, the Senate is demanding explanations for N210 trillion made up of N103 trillion and N107 trillion, which auditors reportedly flagged as not properly accounted for in the corporation’s financial records.
Wadada said the summoned officials are expected to appear before the committee alongside the current management of NNPCL, led by the incumbent GCEO, Engineer Bayo Ojulari, as well as all external auditors who handled the company’s accounts within the period under review.
He stated that the committee had resolved that NNPCL must account for the entire N210 trillion, describing the figures as unacceptable based on available audit reports.
“The NNPCL should refund the sum of N210 trillion being the combined figure of N103 trillion and N107 trillion which were not properly accounted for as contained in the audit reports,” Wadada said.
The committee also directed the national oil company to remit all production costs charged against crude oil revenue into the Treasury, noting that NNPC and its subsidiaries, including NAPIMS, do not directly produce crude oil.
Wadada further revealed that the Senate was alarmed by reports that NNPC spent about N5 billion simply to change its name to NNPCL, saying the committee considered the expenditure excessive and unacceptable.
“This to us in the committee is unacceptable and satisfactory explanations must be given,” he added.
He explained that the decision to reopen the probe followed NNPCL’s failure to provide convincing answers to 19 audit queries raised by the committee.
According to him, NNPCL had claimed that the N103 trillion represented cumulative expenses incurred by Joint Venture partners through JV cash calls from 2017, but the committee rejected the explanation.
Similarly, he said the N107 trillion listed as subsidy receivables in the company’s audited financial statement as of December 2023 was also questionable.
“The audited financial statement shows N107 trillion as sundry receivables which NNPCL claims is owed by some banks and other entities. When put together, the company must properly account for N210 trillion,” he said.
The committee, however, reiterated its support for the administration of President Bola Ahmed Tinubu, noting that the probe is part of efforts by the National Assembly to strengthen transparency, accountability and proper management of public funds.
Senate Reopens Probe Into ‘Missing’ N210trn, Summons Kyari, Ajia, Others
