The Minister of Education, Dr. Tunji Alausa, has firmly denied any fraudulent activity within the operations of the Nigeria Education Loan Fund (NELFUND), following recent allegations that sparked public concern.
Speaking at the conclusion of a strategic meeting with Vice Chancellors, representatives from the National Universities Commission (NUC), officials from the Nigerian Education Loan Fund, and senior members of the Federal Ministry of Education, Dr. Alausa stated that no evidence of financial mismanagement had been found.
“There is absolutely no fraud in NELFUND,” the Minister said. “The Independent Corrupt Practices Commission has clarified that the information circulating was inaccurate. What we’re facing are logistical issues related to timelines—not corruption.”
The statement comes in response to a report by the Independent Corrupt Practices and Other Related Offences Commission (ICPC), which claimed to have initiated an investigation into alleged inconsistencies in the loan disbursement process. Preliminary ICPC findings suggested that although N100 billion was earmarked by the Federal Government for student loans, only N28.8 billion had been distributed to beneficiaries, leaving a balance of N71.2 billion unaccounted for.
The discrepancy raised concerns across the country, with the National Association of Nigerian Students (NANS) threatening nationwide protests to demand accountability.
Adding to the controversy, the National Orientation Agency accused some tertiary institutions of collaborating with financial institutions to intentionally delay the release of approved loan funds. These delays, the agency alleged, allowed those involved to profit from interest accrued on withheld funds.
This followed media revelations that certain academic institutions were deducting unauthorised fees ranging from N3,500 to N30,000 from loan disbursements credited to students.
Responding to the uproar, the ICPC noted that its Special Task Force had promptly launched an inquiry into the allegations. The commission said it remains committed to ensuring transparency and accountability in public fund management.
