The Federal Minister of Education, Dr. Tunji Alausa, has dismissed claims of fraud in the Nigeria Education Loan Fund (NELFUND), asserting that recent allegations are misleading and unfounded.
Speaking after a high-level meeting with Vice Chancellors, officials from the National Universities Commission (NUC), NELFUND, and the Ministry of Education, Dr. Alausa clarified that discrepancies reported by the Independent Corrupt Practices and Other Related Offences Commission (ICPC) were not evidence of fraud but rather challenges tied to timelines and disbursement procedures.
“There is no fraud in NELFUND. The ICPC has clarified that the information in circulation was incorrect,” Alausa stated.
The ICPC had earlier launched an investigation following concerns over the disbursement of N100 billion allocated to the student loan scheme. Preliminary findings claimed that only N28.8 billion had reached students, raising concerns about the whereabouts of the remaining N71.2 billion.
The situation sparked strong reactions from stakeholders, including the National Association of Nigerian Students (NANS), which threatened to protest against the alleged mismanagement.
Additionally, the National Orientation Agency accused some academic institutions and partnering banks of deliberately delaying student loan disbursements in order to exploit the system financially. There were also media reports that some schools made unauthorized deductions from students’ loan-supported school fees—ranging from N3,500 to N30,000.
The ICPC said it acted swiftly by deploying a Special Task Force to probe the allegations. The investigation is ongoing.
Meanwhile, the Education Minister has urged the public to remain calm and patient as the government works to resolve the delays and ensure transparency in the scheme. He reiterated the government’s commitment to the success of NELFUND, which is designed to support students from low-income backgrounds in accessing tertiary education.
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