The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has launched an investigation into some universities and banks over alleged fraudulent practices that prevented students from accessing funds under the Federal Government’s student loan scheme.
This comes after the National Orientation Agency (NOA) uncovered unethical actions by certain institutions, which reportedly collaborated with banks to block students from receiving loans disbursed through the Nigerian Education Loan Fund (NELFUND).
The NOA revealed that some schools deliberately withheld disbursed funds, leaving many students stranded.
In some cases, institutions refused to acknowledge the loans paid directly to them, demanding payments directly from students instead.
The student loan scheme, launched in 2024 with a N35 billion take-off grant by the Federal Government, was introduced by President Bola Tinubu to ease access to higher education. Operated by NELFUND, the initiative covers tuition, other mandatory fees, and a N20,000 monthly upkeep allowance directly credited to students.
Akintunde Sawyerr, NELFUND’s Managing Director, condemned the actions of the institutions and banks involved, promising legal action against any party found guilty.
The NOA’s Deputy Director of Communications, Paul Odenyi, also confirmed that several universities and financial institutions were implicated in sabotaging the disbursement process.
ICPC spokesperson, Demola Bakare, stated that the commission received a petition from NELFUND and has since begun a full-scale probe.
He noted that the NOA was cooperating in the investigation, and further rounds of inquiries would expose more culprits.
Meanwhile, the House of Representatives has expressed interest in probing the situation.
The Chairman of the House Committee on NELFUND, Ifeoluwa Ehindero, assured student leaders of the National Association of Nigerian Students (NANS) that the ICPC would be fully involved in cleaning up the scheme’s disbursement process.
Some affected students voiced their frustrations. Rahmon Kehinde, a student of Kwara State Polytechnic, said he received the upkeep allowance but the N96,000 tuition fee despite claims from NELFUND that the funds had been sent to his school.
Students from Kebbi State University also accused the school of withholding their loans, which they said could prevent them from registering for exams. However, the university’s spokesperson, Mustapha Monsur, denied the allegations, insisting that any student complaining should provide proof of disbursement.
