Probed: Alleged Unauthorized Deductions and Misuse of Student Loan Funds in Nigerian Universities
Education Ministry Holds Urgent Gathering in Response to Accusations Regarding Misdirection of NELFUND Credit Funds
In response to growing public concern, the Federal Ministry of Education has vowed to investigate allegations of unauthorized deductions and misuse of funds from the Nigeria Education Loan Fund (NELFUND). The Minister of Education, Dr. Marut Olatunji Alausa, has branded these accusations as alarming and deeply troubling, emphasizing the need for transparency and responsible financial conduct.
The investigation comes following reports that numerous Nigerian universities have made questionable deductions from funds intended for students under the NELFund scheme. Circulating figures suggest deductions ranging from 3,500 to 30,000 Naira per student, raising eyebrows about the integrity of the loan program.
An emergency meeting is slated for May 6, 2025, with the Vice Chancellors of the affected universities, as well as the Managing Director of NELFund. The purpose of this meeting is to delve into the allegations and ensure full accountability for the handling of these student loan funds.
Meanwhile, the federal government has echoed its commitment to maintaining the integrity of the fund and ensuring equitable access to quality education for all Nigerians. This commitment was reiterated by President Bola Tinubu, who established NELFund as a key initiative, making adequate budgetary provisions for both students and institutions in a fair and transparent manner.
To further reinforce transparency and accountability, the Ministry plans to roll out a compliance-tracking initiative and a countdown webpage, while also launching an Annual University Transparency Index. In addition, a training program for Bursars and ICT Heads of universities and polytechnics on the development and maintenance of an open-portal initiative will be organized.
In April 2024, the ICPC launched an investigation after reports of financial discrepancies within NELFUND emerged, with N100 billion allocated but only N28.8 billion disbursed to students, leaving N71.2 billion unaccounted for. This ongoing investigation involves key stakeholders, including top officials from the Budget Office, the Accountant General of the Federation, and the Central Bank of Nigeria, and is expected to shed light on the allegations and, potentially, lead to legal action.
Advocates for transparency, such as Deji Adeyanju, have called for the ICPC to take stern action against those responsible should the allegations of mismanagement prove true. The eyes of the public remain fixed on the forthcoming investigations, eager for answers and ensuring that every penny allocated for student welfare is accounted for and utilized appropriately.
- The Nigerian Government, led by President Bola Tinubu, has pledged to maintain the integrity of the Nigeria Education Loan Fund (NELFund) and ensure equitable access to quality education for all Nigerians.
- Amidst claims of unauthorized deductions and misuse of funds from the NELFund in Nigerian universities, the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) are being called upon to strengthen their investigations.
- The Nigerian Government, including the Minister of Education, Dr. Marut Olatunji Alausa, has expressed concern over the reported malpractice in the student loan fund, emphasizing the need for transparency and accountability.
- In an effort to address financial general-news such as alleged unauthorized deductions and misuse of funds in the Nigerian Education Loan Fund, the Federal Ministry of Education is planning to roll out a compliance-tracking initiative and a countdown webpage.
- President Bola Tinubu, who established NELFund as a key initiative, has been emphasizing the need for efficient budgetary provisions for both students and institutions in a fair and transparent manner.
- As the 2025 meeting approaches with Vice Chancellors of the affected universities, the Managing Director of NELFund, and other key stakeholders, the public's anticipation grows for answers and accountability regarding the alleged mismanagement of the student loan funds in Nigeria, often colloquially referred to as 'Naija'.
