Probing NNPC’s illegal withdrawal from NNLG

LAST week, the House of Representatives resolved to investigate the alleged illegal withdrawal of $1.05 billion from the account of the Nigeria Liquefied Natural Gas (NLNG) by the Nigerian National Petroleum Corporation (NNPC). It, therefore, mandated its Committee on Public Account to conduct a thorough investigation into the activities that had taken place on the dividends account, invite the managements of the NNPC as well and the NLNG in the process, and report back to the House in four weeks.

The resolution was sequel to the unanimous adoption of a motion by the Minority Leader, Ndudi Elumelu. While moving the motion, Elumelu, who recalled that the NLNG was incorporated as a limited liability company in 1989 to produce liquefied natural gas and natural gas liquids for export purposes which began in 1999, observed, quite rightly, that dividends from the NLNG were supposed to be paid into the Consolidated Revenue Funds Account of the Federal Government and shared amongst the three tiers of government.

However, according to him, The NNPC, which represents the government of Nigeria on the board of the NLNG, had unilaterally without the required consultations with states and the mandatory appropriation from the National Assembly illegally tampered with the funds at the NLNG dividends account to the tune of $1.05 billion, thereby violating the nations appropriation law. There was no transparency in this extra-budgetary spending as only the Group Managing Director and the corporations Chief Financial Officer had knowledge of how the $1.05 billion was spent. There are no records showing the audit and recovery of accrued funds from the NLNG by the Office of the Auditor General of the Federation, hence the need for a thorough investigation of the activities on the NLNG dividends account.

The NLNG is jointly owned by the Government of Nigeria, represented by the NNPC, with a shareholding of 49 per cent, with the balance distributed between Shell Gas (25.6 per cent), Total LNG Nigeria Ltd (15 per cent) and ENI International (10.4 per cent). Thus, by law and as a matter of right, NNPC, acting on behalf of the Federal Government, the states and local governments, cannot unilaterally withdraw money from the account. However, as Nigerians are well aware, the operations of the corporation have been shrouded in mystery over the years. Indeed, not many organisations have been dogged by allegations of corruption, sleaze and malfeasance like the NNPC over the years. Against this backdrop, the resolution by the Green Chamber to probe the alleged underhand dealings over the NNLG dividends account is quite in order.

However, because the allegation is quite weighty, the House needs to do much more than a private investigation. There must be a public hearing on the issue, with all participants given the opportunity to state their respective claims. The matter at hand is, in our view, too big and too serious to be handled by a committee of the House. If anything, giving Nigerians the opportunity to ask questions and demand answers on their collective patrimony would further strengthen the noble task that the House has set for itself. If it is indeed true that money that should go into the Consolidated Account was withdrawn by the NNPC in shady circumstances, then all those who enabled such monumental rape of the public till must be unmasked and treated strictly in accordance with the laws of the land.


Commissioners of education of the six South-West states of the country have expressed readiness to sit their respective Senior Secondary School three (SSS3) students for the 2020 West African Senior School Certificate Examination… Read Full Story
The Federal Government, on Wednesday, insisted that its decision not to allow the reopening of schools because of the coronavirus pandemic remains unchanged as it maintains that it is not confident about the safety of students at this time… Read Full Story
Governor Nasir el-Rufai of Kaduna State has charged the people of Southern Kaduna to be united as the crisis in the area is portraying the place as unsafe for development and investment… Read Full Story
The Twitter accounts of some of the US most prominent political and business leaders, from Barack Obama and Joe Biden to Bill Gates and Warren Buffett, were hacked Wednesday afternoon in an apparent effort to promote a Bitcoin scam, Bloomberg reports… Read Full Story
The World Health Organisation and the UN Children’s Fund (UNICEF), have warned of an alarming decline in the number of children receiving life-saving vaccines around the world because of… Read Full Story
The Senate on Wednesday passed a bill to upgrade the Federal Polytechnic, Auchi, Edo State to a University of Technology… Read Full Story
The Federal Executive Council (FEC) has approved a projected budget of N12.66 trillion… Read Full Story
THE Chairman House of Representatives Committee on Aviation, Honourable Nnolim Nnaji has urged airlines and airport workers to be strict in doing their work, assuring them that all arms of government and the Presidential Taskforce, (PTF) woud back and protect them in doing the right thing… Read Full Story
WITH the outbreak of the deadly COVID-19 pandemic and its disastrous impact on air travels in particular, safety awareness has doubled if not tripled amongst air travelers for obvious reasons… Read Full Story
Aggrieved chieftains of the All Progressives Congress (APC) who reportedly lost out in the power game at the party national secretariat under the leadership of its axed national chairman, Comrade Adams Oshiomhole yesterday took their pound of flesh from a perceived footsoldier of the former APC national chairman… Read Full Story
The All Progressives Congress (APC) governorship nomination Appeal Committee for the Party’s Ondo State Governorship Primary Election slated for July 20 has cleared the axed aspirant… Read Full Story
THE Federal Government of Nigeria has approved that private schools across the country will benefit from a N2.3 trillion stimulus package it recently announced to support businesses affected by the… Read Full Story
WITH the impact of the COVID-19 on the aviation sector, the Nigerian College of Aviation Technology (NCAT), Zaria has declared that it has no intention of increasing school fees even as it hinted that it was working frantically to resume training in line with the guidelines as issued by the Nigeria Civil Aviation Authority… Read Full Story
THERE is no doubting the fact that fraud rings have become a pandemic in the country. While the embarrassment was largely confined to its shores before now, an international dimension has been introduced in recent times. First was the arrest in August last year of Obinwanne Okeke, Chief Executive Officer of the… Read Full Story
If the postponed Tokyo Olympics do not go ahead next year due to COVID-19, then the 2022 Beijing Winter Games will likely also fall victim to the pandemic… Read Full Story
You might also like

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. AcceptRead More