NELFUND Insists: No N71bn Missing from Student Loan Scheme

The Nigerian Education Loan Fund (NELFUND) has strongly refuted claims that N71.2 billion is missing from the student loan fund initiated by the Federal Government. This response comes on the heels of an investigation launched by the Independent Corrupt Practices and Other Related Offences Commission (ICPC), which indicated a troubling gap in the disbursement of the allocated N100 billion.

According to preliminary findings by the ICPC, only N28.8 billion out of the N100 billion earmarked for the student loan program had been disbursed, leaving a purported shortfall of N71.2 billion. This discrepancy sparked outrage among various stakeholders, including the National Association of Nigerian Students (NANS), which threatened to mobilize protests over what they described as a betrayal of trust in a sensitive educational initiative.

In a related development, the National Orientation Agency (NOA) alleged that some higher institutions and banks might be colluding to delay the payment of funds to students. The agency hinted that the delay could be a tactic to exploit the situation for personal gain, a development that has added another layer of controversy to the unfolding saga.

NELFUND MD Clears Air on Channels TV

In a bid to clarify the situation, the Managing Director of NELFUND, Akintunde Sawyerr, appeared on Channels Television’s Politics Today program on Sunday. During the interview, Sawyerr categorically denied that any funds were missing, emphasizing that the figures being circulated do not accurately reflect the financial records of the agency.

“Let me be very clear—no money has been stolen,” Sawyerr stated emphatically. “The Nigerian Education Loan Fund was established to ensure that no willing student is left behind because of a lack of funds. The total amount we’ve received is even more than N100 billion—it stands at about N203 billion.”

Breaking it down, Sawyerr explained that N10 billion came from the Ministry of Finance, N50 billion from the EFCC’s recovered proceeds of crime, and N143 billion from TETFund. “So you can see, there is no room for any missing funds. This misinformation is unfortunate and needs to be corrected,” he added.

Disbursement Structure and Payment Flow Explained

Sawyerr elaborated on how NELFUND disburses funds, noting that no money goes directly into the hands of students from the agency. Instead, funds are transferred to institutions to cover tuition and related charges, while upkeep stipends are handled separately.

“To date, we have disbursed N54 billion—N30 billion to institutions and N24 billion for student upkeep,” he disclosed. “All funds are domiciled at the Central Bank of Nigeria for transparency and accountability. No school is allowed to disburse these funds directly to students except in cases of overpayment.”

He admitted that some institutions have already begun issuing refunds where discrepancies or duplicate payments occurred. However, he condemned the idea of schools exploiting students through intentional delays or manipulation, saying that ongoing investigations would ensure accountability.

Dialogue with NOA and Oversight Mechanisms

The NELFUND boss also confirmed that he had spoken with the Director-General of the National Orientation Agency, Lanre Issa-Onilu, over the issue. While he described the conversation as a routine engagement, he stressed that both agencies were committed to resolving the matter swiftly and ensuring public confidence is restored.

“We regularly speak, and in this case, it was over the phone. We are both committed to ensuring this program succeeds because it affects the lives and futures of Nigerian students,” Sawyerr said.

He also emphasized that a meticulous investigation was ongoing to trace where and how the anomalies occurred. This includes auditing institutions involved in the scheme and working closely with regulatory agencies to ensure no loopholes are exploited in the future.

Students Urged to Remain Calm as Review Continues

As outrage simmers among students and youth groups, NELFUND has called for calm, assuring that any institution or individual found guilty of tampering with the fund would be dealt with in accordance with the law. Sawyerr expressed concern that misinformation could undermine the credibility of a vital intervention program meant to support indigent students.

“This is not the time to panic or protest. The allegations are being investigated, and the right steps are being taken to ensure transparency and justice,” he said.

Students and the general public were encouraged to report any suspected discrepancies in their loan disbursements to the appropriate authorities for swift action. NELFUND also promised to make its operational records more accessible to enhance public trust.

“This fund belongs to the Nigerian people. It must be protected, and that is exactly what we’re committed to doing,” Sawyerr concluded.