ABUJA, Nigeria — The Senate on Wednesday, June 18, 2025, issued a one-week ultimatum to the Nigerian National Petroleum Company Limited (NNPCL) to clarify discrepancies amounting to over ₦210 trillion in its audited financial statements for the years 2017 to 2023.
The directive was given by the Senate Committee on Public Accounts during a heated investigative session with NNPCL officials, including the company’s Chief Financial Officer, Dapo Segun, who appeared in response to a formal summons.
The committee flagged alarming inconsistencies in the NNPCL’s audited reports, particularly under the categories of “accrued expenses” and “receivables.”
The anomalies were highlighted in reports submitted by the company’s external auditors.
Committee Chairman, Senator Aliyu Wadada (Nasarawa West), described the figures as “mind-boggling” and “unacceptable,” stressing the urgency of financial transparency in line with the Tinubu administration’s revenue mobilisation goals.
According to Wadada, the audited statements listed accrued expenses of ₦103 trillion—including over ₦600 billion in retention fees and other legal and auditor fees—without any accompanying documentation or contract references.
“Retention fees alone are quoted at over ₦600 billion, yet no contracts were referenced to justify these amounts,” he said. “There are also legal fees with no attached details of the legal engagements that led to those costs.”
He added that the receivables, also pegged at ₦103 trillion, raised similar concerns, especially after the committee received a fresh document from NNPCL shortly before the hearing which contradicted the previously audited figures.
“The receivables figure presented in the new document was entirely inconsistent with the audited financial statement,” Wadada said.
“We found this not only ridiculous but also deeply troubling.”
He noted that all the concerns raised were sourced directly from publicly available audited financials.
“In a country led by President Bola Tinubu, who has committed to changing the national narrative through the Renewed Hope Agenda, access to accurate financial information is crucial.”
The senator further questioned why NNPCL would sign off on the reports despite internal reconciliation still ongoing, particularly at a time when the company is preparing to launch an Initial Public Offering (IPO).
“How can reconciliation still be pending, yet you release and sign off on the audited financials? These are not minor oversights. These figures are already out there in the public space and can impact investor confidence,” he said.
The committee has issued 11 specific queries to the NNPCL and expects a comprehensive response within one week.
In a related finding, the committee uncovered discrepancies between the company’s profit and loss declarations and those of one of its subsidiaries.
Senator Wadada disclosed that while the National Petroleum Investment Management Services (NAPIMS) declared a profit of ₦9 trillion between 2017 and 2021, NNPCL reported a loss of ₦16 billion during the same period.
Vowing not to allow the matter to be swept under the carpet, the committee pledged to take all necessary steps to hold the company accountable.
