Reported by: Ijeoma G | Edited by: Oravbiere Osayomore Promise.
The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against the Nigerian National Petroleum Company Limited (NNPCL) at the Federal High Court in Abuja, seeking an order of mandamus to compel the state‑owned oil firm to account for approximately ₦5.9 billion reportedly spent on the incorporation, transition and rebranding of the Nigerian National Petroleum Corporation (NNPC) into NNPCL. The suit, marked FHC/ABJ/CS/1248/2026, was filed on behalf of SERAP by lawyers Oluwakemi Agunbiade, Kehinde Oyewumi and Andrew Nwankwo, according to a statement issued on Sunday by the organisation’s deputy director, Kolawole Oluwadare.
According to financial records cited by SERAP, the spending was split down the middle: ₦2.9 billion was deducted from petroleum product proceeds for incorporation expenses, while another ₦2.9 billion was charged directly to crude oil revenues by the National Petroleum Investment Management Services (NAPIMS), bringing the total to about ₦5.9 billion. The transformation of NNPC into NNPCL followed the enactment of the Petroleum Industry Act (PIA) 2021, which required the national oil corporation to become a commercially oriented limited liability company wholly owned by the Federal Government.
SERAP is asking the court to “direct and compel the NNPCL to provide a comprehensive reconciliation statement detailing the specific financial transactions relating to the ₦5.9 billion expenditure, including the identities of the contractors involved, and how the funds were utilised for the rebranding of NNPC to NNPCL.” The rights group is also seeking an order to compel the company “to disclose the names and official positions of the government officials who authorised and approved the release and expenditure of the ₦5.9 billion reportedly spent on the rebranding … and to clarify whether the expenditure complied with applicable procurement laws and due‑process requirements.”
In the suit, SERAP argued that “there is a legitimate public interest in the disclosure of the details sought. The NNPCL has a legal responsibility to explain whether the ₦5.9 billion expenditure represents value for money, constitutes lawful spending of public funds, and complies with applicable due‑process requirements.” It maintained that “Nigerians have the right to know who approved the expenditure, who received the funds, the nature of the services rendered, and whether due process and procurement requirements were strictly followed.” The organisation further stated that “the alleged spending of the ₦5.9 billion suggests a grave violation of the public trust and the provisions of the Nigerian Constitution 1999 [as amended], national anti‑corruption laws, and the country’s international anti‑corruption obligations.”
The legal action follows intense scrutiny at the National Assembly. The Senate Committee on Public Accounts, chaired by Senator Aliyu Wadada Ahmed, explicitly flagged the ₦5.9 billion expenditure, describing the transition costs as “excessive” and “unjustifiable” for a name change. The committee noted that documents reviewed showed a duplication of incorporation expenses: ₦2.9 billion sourced from petroleum product proceeds and another ₦2.9 billion charged against crude oil revenue for the same purpose. “In this day and age, who will comprehend such a figure being expended just to change the name of NNPC to NNPCL?” Senator Wadada queried.
The move by SERAP also follows a separate controversy in which the Senate committee summoned both former and current NNPCL officials, including former Group Managing Director Mele Kyari, over the rebranding costs and unexplained financial figures totalling ₦210 trillion. The committee insisted that the NNPCL should refund the combined amount unless proper justification is provided. A former Chief Financial Officer of the NNPC, Umar Ajiya, previously clarified that the total incorporation and rebranding cost was ₦2.9 billion, not ₦5.8 billion, and denied claims that the company had spent double that amount. However, SERAP’s lawsuit maintains that the total expenditure, when adding the NAPIMS charge, remains around ₦5.9 billion and has not been properly accounted for.
No date has yet been fixed for the hearing of the case.
📩 Stone Reporters News | 🌍 stonereportersnews.com ✉️ info@stonereportersnews.com | 📘 Facebook: Stone Reporters News | 🐦 X (Twitter): @StoneReportNew | 📸 Instagram: @stonereportersnews
Add comment
Comments