ICPC Probes Tinubu Govt’s Student Loan Scheme Over Missing ₦71bn
The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched an investigation into the Nigeria Education Loan Fund (NELFUND) following reports of irregularities and unauthorised deductions in the student loan scheme under President Bola Tinubu’s administration.
At least 51 tertiary institutions allegedly imposed illegal charges ranging from ₦3,500 to ₦30,000 on students, despite the government’s directive for free processing under the scheme.
In a statement on Thursday, the ICPC revealed that only ₦28.8 billion out of the ₦100 billion initially allocated by the Federal Government had been traced to student beneficiaries, leaving ₦71.2 billion unaccounted for.
The Commission has activated its Chairman’s Special Task Force to probe the matter.
It has sent letters of investigation and formal invitations to key officials, including the Director General of the Budget Office, the Accountant General of the Federation, and senior personnel at the Central Bank of Nigeria (CBN).
Top executives of NELFUND, including the CEO and Executive Director, were also summoned for questioning and asked to provide operational documents. Investigations revealed that as of March 19, 2023, NELFUND had received a total of ₦203.8 billion, which included allocations from FAAC, TETFund, and EFCC recoveries.
Despite this, only ₦44.2 billion has reportedly been disbursed to 293,178 students across 299 institutions, raising concerns of mismanagement.
The ICPC has now extended its investigation to all beneficiary institutions and individual loan recipients.
The Centre for Anti-Corruption and Open Leadership (CACOL) condemned the alleged exploitation of students and called on the Federal Ministry of Education, EFCC, and ICPC to take urgent action.
“This alarming practice, if confirmed, constitutes a gross violation of students’ rights and a betrayal of the scheme’s core mission — to promote access to education for underprivileged Nigerians,” Oresanwo stated.
“The scheme was designed to empower Nigerian youth, not to enrich institutions through unjust deductions. Such actions are a disservice to our nation’s future,” the statement said.
The student loan scheme was established by the Tinubu administration to enhance access to higher education.
Initially signed into law in June 2023, it was later amended in April 2024 to widen access and remove income-based restrictions.
Under the revised law, all students in public tertiary institutions and approved skills centres are eligible for loans covering tuition and other educational expenses.
However, the current investigation threatens to undermine the credibility of the initiative, with updates expected as the probe continues.
Titilope Adako is a talented and intrepid journalist, dedicated to shedding light on the untold stories of Osun State and Nigeria. Through incisive reporting, she tackles a broad spectrum of topics, from politics and social justice to culture and entertainment, with a commitment to accuracy, empathy, and inspiring positive change.
