By Ubong Ukpong, Abuja

The Nigerian Education Loan Fund(NELFUND) yesterday confirmed to the House of Representatives that it received a whooping N203 billion to settle student loan.Managing Director of NELFUND, Akintunde Sawyer, disclosed this during an investigative hearing into the alleged diversion of N71 billion from the fund by the Committee on NELFUND and Student Loan, chaired by Hon.

Ifeoluwa Ehindero. He denied the alleged diversion of the said amount from the funds disbursed so far.The MD described the statement issued by the Independent Corrupt Practices and Other Related Offences Commission (ICPC) as unfounded and inaccurate.According to him, from the total sum of N54 billion disbursed so far to 303 government-owned institutions—including universities, polytechnics, and colleges of education—N30 billion was paid to these institutions, while N24 billion was paid as upkeep, pocket money, or stipends to 293,000 Nigerian students studying at the tertiary level in government-owned institutions.A breakdown of the sources of funds accrued to NELFUND’s account domiciled with the Central Bank of Nigeria (CBN) showed that N10 billion was received from the Office of the Accountant General of the Federation; N143 billion from TETFund; and N50 billion from the proceeds of crime recovered by the Economic and Financial Crimes Commission (EFCC) as an intervention fund.Sawyer said, “Appropriated funds, as directed by the Honourable Minister for Finance, included N71 billion from TETFund. “This was a result of a presidential directive for TETFund to release N143 billion to NELFUND. They released N71 billion in the first instance and another N71 billion subsequently, totaling N143 billion. Finally, we received an additional N50 billion in recovered proceeds.”While dismissing the allegations of irregularities in NELFUND’s operations, as alleged on social media and in the ICPC statement, Mr. Sawyer reiterated the Fund’s commitment to upholding its policy thrust and extant laws.“We took these reports with the utmost seriousness because we recognize several things: one, the importance of this policy to the administration; two, its importance to Nigerian students—many of whom have long suffered; and three, the importance to this House, which initiated the bill, supported ably by members,” he said. “We hold this House in high regard and deeply appreciate its support. If you recall, this Act was repealed and reenacted. It went through within 24 hours. Similarly, when the ICPC released its statement last Thursday alleging irregularities, we responded swiftly.”“They claimed irregularities involving institutions and their relationships with students in terms of access to education and charges. “The ICPC report followed a media story suggesting 51 institutions were in breach. NELFUND was quoted in the release, and it was implied that funds had been diverted by us.”“We immediately reacted because, although we knew the claim was unfounded, we recognized the potential damage to public confidence in the scheme, which already faced skepticism. “Our response led the ICPC to revisit its statement, and within hours, it retracted the part suggesting that NELFUND diverted funds.” “They did not retract their comments about irregularities within the education system, but they fully withdrew the allegation regarding fund diversion.“This is possibly the first time in Nigeria that a security agency has reversed itself so quickly. Nonetheless, damage had already been done.”“As Honourable Members know, once a piece of news is out, it takes on a life of its own. A lot of confidence has been lost in our institution.“”This is unfortunate for NELFUND and for Nigeria. We’ve worked hard to put out a narrative—now backed by the ICPC’s new statement—that no funds were diverted.” “Now to the numbers. Let me explain how NELFUND’s expenditures have been handled.

“According to the law passed by this Honourable House, 90 percent of funds received by NELFUND must go toward student loans. These funds are untouchable and cannot be used for any other purpose. Any diversion would be a breach of the law.”“As of today, NELFUND has disbursed approximately N54 billion to 303 government-owned institutions—universities, polytechnics, and colleges of education. N30 billion went to these institutions, and N24 billion was paid as upkeep or stipends to 293,000 Nigerian students in these institutions.”“So, in total, N54 billion has been disbursed since the Fund’s inception. Of this, N30 billion went to institutions, and N24 billion was paid directly to students as upkeep.”“NELFUND has received N203 billion in its Central Bank account. Let me break it down: we received N10 billion from the Office of the Accountant General.“Following appropriation, we received N71 billion from TETFund based on a presidential directive. TETFund later released an additional N71 billion, totaling N143 billion.“Finally, we received N50 billion in recovered proceeds from the EFCC, as directed by His Excellency, President Bola Ahmed Tinubu.”“I highlight these figures because the ICPC statement contained several inaccuracies.“It claimed we had received N100 billion and disbursed N28 billion. Both figures were understated and led to the wrong conclusion that N71 billion had been diverted.”“As you can see, even from the inaccurate figures, the conclusion was flawed.“Regardless, we take any allegations of diversion—within or outside of NELFUND—extremely seriously. This project is sacred and must not be tampered with.”Before the Committee dissolved into an executive session, Hon. Ehindero requested supporting documents on disbursements and funds received from the Federal Government to date.