SERAP Asks Tinubu to Probe ₦94.4bn Allegedly Unremitted, Unaccounted Oil Funds

The Socio-Economic Rights and Accountability Project (SERAP) has called on President Bola Tinubu to order an urgent investigation into more than ₦94.4 billion in petroleum-sector funds allegedly diverted, unremitted, unaccounted for or irregularly spent by the Midstream and Downstream Gas Infrastructure Fund (MDGIF) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

SERAP made the demand in a letter dated October 3, 2026, signed by its Deputy Director, Kolawole Oluwadare, and addressed to President Tinubu, who also serves as Nigeria’s Minister of Petroleum Resources.

The organisation based its allegations on findings contained in the 2024 Volume 2 Annual Report of the Auditor-General of the Federation, published on August 7, 2026. According to SERAP, the audit findings covered various periods between January and December 2023 and extended to December 31, 2024.

SERAP urged the President to direct relevant anti-corruption agencies to investigate the financial discrepancies, prosecute anyone found culpable where sufficient admissible evidence exists, and recover and remit all public funds established to have been improperly withheld, diverted or spent.

Auditor-General Flags Billions in Petroleum Revenues

According to SERAP, one of the most significant findings concerns ₦26.549 billion in revenue from the sale of petroleum products which the MDGIF allegedly failed to remit between January 1, 2022 and December 31, 2024.

The Auditor-General reportedly expressed concern that the money may have been diverted and recommended its recovery and remittance to the Treasury.

The audit report also identified another ₦12.480 billion in gas-flaring penalties for 2023 which the MDGIF allegedly failed to remit and report.

SERAP said the Auditor-General raised concerns about the failure to collect and promptly remit net revenue generated by the NUPRC from gas flaring into the MDGIF account, as required under Section 52(8) of the Petroleum Industry Act 2021.

The audit findings, according to the organisation, warned that the failure to remit gas-flaring penalties could result in shortages of funds needed for environmental remediation and potentially contribute to civil tensions arising from the continued non-remediation of environmental hazards.

The NUPRC was also accused of failing to remit ₦38.610 billion in gas-flaring penalties collected and due to the MDGIF.

The Auditor-General reportedly raised similar concerns over the possible impact of the failure to remit the funds, particularly on environmental remediation.

Consultancy Payments Under Scrutiny

SERAP also drew attention to several consultancy-related expenditures by the MDGIF which it said were questioned by the Auditor-General.

The organisation said the MDGIF paid a consultant ₦3.518 billion to recover gas-flaring penalties without presidential approval, while the audit found no evidence of due process or due diligence in the engagement.

The Auditor-General reportedly expressed concern that the money may have been diverted.

In another instance, the MDGIF allegedly spent ₦261.852 million to engage Transaction Advisors, but the audit reportedly found no evidence that the advisers had executed any work.

The Auditor-General consequently expressed concern that the money may have been diverted.

The MDGIF was also said to have spent ₦65.8 million to engage Transaction Advisors in August 2024 without due process. According to the Auditor-General, the transaction may have violated public procurement procedures, prompting a recommendation that the Executive Director of the MDGIF account for the expenditure.

SERAP said these findings point to what it described as repeated failures of basic financial and administrative controls within the petroleum-sector institutions.

₦12.9bn Natural Gas Revenue Unaccounted For

Another issue highlighted by SERAP was ₦12.940 billion in revenue from the sale of natural gas in 2024 which the MDGIF allegedly failed to collect and account for.

The Auditor-General reportedly expressed concern that the funds may have been diverted and recommended their recovery and remittance to the Treasury.

Taken together, SERAP said, the findings raise serious questions about the management of petroleum revenues and gas-flaring penalties and the adequacy of safeguards designed to protect public resources.

The organisation said the failure to account for the funds was particularly troubling because gas-flaring penalties are intended to support lawful public purposes, including environmental remediation and the protection of communities affected by environmental degradation.

SERAP Demands Publication of Financial Records

Beyond the investigation of the disputed funds, SERAP asked President Tinubu to direct the MDGIF to submit and publish its audited financial statements for 2022, 2023 and 2024.

It also called for the statements to be promptly forwarded to the Public Accounts Committees of the National Assembly, in line with the Auditor-General's recommendations.

SERAP further demanded that the MDGIF and NUPRC publish a detailed schedule showing the amounts due, collected, remitted and recovered, together with the dates of transactions, institutions or officials responsible and the accounts into which the funds were paid.

According to the organisation, such disclosure would enable Nigerians and the National Assembly to properly scrutinise the management of petroleum-sector revenues.

“The failure to submit and publish audited financial statements for three consecutive financial years also undermines effective legislative oversight and public scrutiny of the financial management of the MDGIF,” SERAP said.

Tinubu Urged to Act Within Seven Days

SERAP said there was a compelling public interest in ensuring that the Auditor-General's findings were not allowed to remain unresolved.

It urged the President to ensure that anyone found responsible was appropriately sanctioned and prosecuted where sufficient admissible evidence was established, “irrespective of status, position or institutional affiliation.”

The organisation said every naira identified in the Auditor-General's report should be accounted for and that funds found to have been diverted, misapplied, improperly spent or otherwise unaccounted for should be recovered and remitted to the Treasury.

SERAP asked the President to ensure that the requested measures were taken within seven days of the receipt or publication of its letter.

It warned that failure to receive a response within that period could lead it to consider “appropriate legal actions and other lawful measures” to compel the Federal Government, MDGIF, NUPRC and other relevant authorities to comply with its demands.

Accountability In Petroleum Sector

SERAP argued that the allegations were particularly significant because they involved institutions responsible for managing petroleum revenues and gas-flaring penalties, areas with direct implications for Nigeria's public finances and environmental management.

It also cited provisions of the 1999 Constitution, including Section 13, which requires government to conform to and apply the provisions of Chapter II of the Constitution, and Section 15(5), which requires the State to abolish corrupt practices and abuse of power.

The organisation also referred to Section 14 of the Constitution, which states that the security and welfare of the people shall be the primary purpose of government.

SERAP further invoked Nigeria's obligations under the United Nations Convention against Corruption and the African Union Convention on Preventing and Combating Corruption, arguing that the international instruments require effective measures to prevent, investigate and sanction corruption and promote transparency and accountability in the management of public resources.

It stressed that the Auditor-General's findings should therefore be subjected to transparent investigation and that any funds established to have been improperly withheld or spent should be recovered.

The allegations contained in SERAP's letter are based on audit findings and calls for investigation; they do not, by themselves, establish that the named institutions or officials diverted public funds. The Auditor-General's findings and any subsequent investigations would be required to determine responsibility and establish whether criminal or administrative violations occurred.