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The Digest:

The Nigerian National Petroleum Company Limited faces severe financial misconduct allegations after the Auditor-General's report revealed over $51 million in questionable payments and systemic regulatory violations. According to Premium Times' analysis of the 808-page audit covering 2020-2021, the state oil company engaged in inflated contracts, unauthorized payments, and tax non-remittance, exposing critical weaknesses in national financial governance.

Key Points:
  • NNPC failed to deduct statutory taxes on N24.7 billion and $52.98 million payments
  • $22.84 million overpaid to contractor for 2017/2018 DSDP contracts without reconciliation
  • $1.8 million paid for vessel charter contract before official approval
  • $2.01 million and N478.5 million paid without supporting invoices or receipts
  • $8.2 million paid for meter installation contract violated terms
  • $1.03 million diverted to wrong company without contractual relationship
  • $1.93 million lost through inflated vessel charter rates without justification
This audit reveals not just financial irregularities but a culture of impunity where public resources become private fiefdoms. The repeated unsatisfactory responses from management suggest deeper institutional decay that threatens both economic stability and public trust in governance institutions.

Sources: Premium Times, Auditor-General's Report