A former Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), who later served as Group Chief Executive Officer of NNPC Limited, has denied allegations that ₦210 trillion was lost under his leadership.
The former oil industry chief clarified, appearing before the Senate Committee on Public Accounts to respond to issues raised in the audit of the Nigerian National Petroleum Company Limited.
He said his appearance provided an opportunity to address concerns surrounding the company’s financial records, explain disputed transactions and clarify matters relating to his tenure at the organisation.
Addressing the allegation involving ₦210 trillion, he maintained that the amount was not missing money but resulted from accounting entries and bookkeeping descriptions in the company’s financial records.
He told the committee that no such funds were lost under his leadership, adding that he had provided explanations on the relevant entries and remained available to offer further clarification where necessary.
He also addressed questions surrounding the ₦2.99 billion reportedly spent on the incorporation of NNPC Limited.
According to him, the expenditure covered statutory payments made to the Federal Inland Revenue Service (FIRS) and the Corporate Affairs Commission (CAC) in connection with the company’s incorporation.
He explained that the issue concerned the accounting treatment of the payments and which entity was responsible for the expenditure under the provisions of the Petroleum Industry Act, rather than any improper spending.
Beyond the audit concerns, the former NNPC chief highlighted reforms introduced during his leadership, particularly measures aimed at improving transparency, accountability and institutional responsibility.
He recalled that when he assumed leadership of NNPC in 2019, one of his priorities was to establish a system that would make the organisation more accountable to Nigerians, who he described as the ultimate stakeholders in the country’s petroleum resources.
As part of the reforms, he said his administration took the decision to publish the company’s financial statements, making its financial records publicly accessible for the first time in its 43-year history.
He acknowledged that the decision exposed the organisation to increased public scrutiny, criticism and debate but maintained that transparency was necessary to strengthen its operations and public accountability.
According to him, the disclosures generated discussions, recommendations and internal reforms that contributed to improved operational efficiency, stronger accountability and cost-saving measures.
He further attributed the company’s movement from a loss-making position to sustained profitability to the reforms and other measures implemented during the period.
The former chief executive also expressed satisfaction that the accountability structures introduced during his tenure had continued under the current management, with what he described as encouraging financial results.
He noted that the reforms took place alongside wider changes in Nigeria’s petroleum industry following the enactment of the Petroleum Industry Act and policy interventions by President Bola Tinubu’s administration.
He said NNPC worked towards implementing policy decisions of the Federal Government and the National Assembly, including the transition to a market-based petroleum products regime.
He also highlighted developments in the oil and gas sector during the period, including increased investment, progress on strategic gas infrastructure projects and the expansion of the downstream petroleum industry.
According to him, these developments remain important to Nigeria’s energy security, economic growth and long-term investment prospects.
Reflecting on his time at the national oil company, he said he remained proud of the opportunity to serve NNPC and contribute to the transformation of an institution central to Nigeria’s economic development.
The Senate Committee on Public Accounts is examining issues arising from the company’s audit records, with the explanations provided expected to form part of its consideration of the matters raised.
