The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched a full investigation into the student loan program under the Nigeria Education Loan Fund (NELFUND). This follows reports that a large amount of the money meant for students is missing.
According to ICPC spokesperson Demola Bakare, only N28.8 billion was actually given to students, even though the Federal Government released N100 billion for the loan scheme. This means N71.2 billion is unaccounted for.
The investigation started after reports showed that 51 universities and other institutions were involved in illegal deductions from students. These schools reportedly took between N3,500 and N30,000 from each student’s loan money without permission.
The ICPC has invited top officials for questioning, including the Director-General of the Budget Office, the Accountant-General of the Federation, senior officials from the Central Bank of Nigeria, and leaders of NELFUND. They were asked to share documents and explain how the money was used.
So far, the ICPC found that NELFUND had received N203.8 billion by March 19, 2024. The money came from different sources like:
- N10 billion from the Federation Allocation Account Committee
- N50 billion from the Economic and Financial Crimes Commission
- N71.9 billion from the Tertiary Education Trust Fund (TETFund), twice
Despite this large amount, only about N44.2 billion was given out to 299 schools, helping around 293,178 students.
The ICPC says there is a clear problem in how the student loan funds were managed. The investigation will now look deeper into the schools that received the money and the students who got the loans.
