Socio-Economic Rights and Accountability Project takes Nigerian National Petroleum Company Limited to court for alleged inability to provide records of ₦211 trillion in petroleum revenue

The Socio-Economic Rights and Accountability Project has taken the Nigerian National Petroleum Company to court, accusing it of failing to provide adequate explanations for ₦211 trillion in oil money listed as 'Sundry Receivables' and 'Accrued Expenses' in its 2023 audited financial statements.

n

This development was made public in a statement issued by SERAP's Deputy Director, Kolawole Oluwadare, which was made available to PUNCH Online on Sunday.

n

According to the statement, the NNPCL's 2023 audited financial statements show that the company recorded over ₦211 trillion (₦211,015,245,000,000) as 'Sundry Receivables' and 'Accrued Expenses', but failed to provide sufficient information to enable the public to scrutinize the transactions.

n

SERAP has filed a lawsuit, suit No. FHC/ABJIC/1427/2026, at the Federal High Court in Abuja, seeking an order of mandamus to compel the NNPCL to account for the ₦211 trillion and disclose all relevant documents and information related to the transactions.

n

The lawsuit also asks the court to direct the NNPCL to provide a detailed explanation and supporting documents for the ₦107.6 trillion recorded as 'Sundry Receivables', including the identities of debtors, amounts owed, and the status of recovery efforts.

n

Furthermore, SERAP is seeking a court order to compel the NNPCL to disclose the breakdown and supporting documents for the ₦103.4 trillion recorded as 'Accrued Expenses', including the identities of creditors and beneficiaries, and the nature and legal basis of the liabilities.

n

The lawsuit argues that there is an overriding public interest in disclosing the information sought, and that the NNPCL has a legal duty to explain and account for the ₦211 trillion and demonstrate that the entries are accurate and lawful.

n

SERAP contends that the Freedom of Information Act and the African Charter on Human and Peoples' Rights guarantee the public's right to access information held by public institutions, including the NNPCL, to enable citizens to scrutinize the management of public resources.

n

Nigerians have the right to know who owes the ₦107.6 trillion, who is entitled to the ₦103.4 trillion in accrued expenses, and whether the transactions comply with applicable laws and public accountability standards, according to the statement.

n

The lawsuit, filed on behalf of SERAP by its lawyers Oluwakemi Agunbiade, Kehinde Oyewumi, Andrew Nwankwo, and Maryam Mumuni, notes that 'Sundry Receivables' and 'Accrued Expenses' are significant entries in the NNPCL's financial statements that require adequate explanation and disclosure.

n

SERAP argues that the NNPCL's failure to disclose the requested information undermines transparency, accountability, and public confidence in the management of Nigeria's oil wealth, and prevents Nigerians from determining whether the transactions are lawful and properly documented.

n

Despite being a commercial entity, the NNPCL remains subject to the Freedom of Information Act because it is wholly owned by the Federal Government and manages Nigeria's petroleum resources and oil revenues on behalf of the Federation, according to SERAP.

n

The funds managed by the NNPCL are considered public funds, as they are derived from Nigeria's petroleum resources, which belong to the Federation, and Nigerians have a legal right to scrutinize how these resources are managed.

n

The NNPCL failed to comply with SERAP's Freedom of Information request, despite the clear timelines prescribed by the Freedom of Information Act, and its failure to respond is deemed a refusal, entitling SERAP to seek judicial intervention to compel full disclosure.

n

The information requested is not exempt from disclosure under the Freedom of Information Act and concerns matters of overwhelming public interest relating to transparency, fiscal accountability, good governance, and the prudent management of Nigeria's oil wealth.

n

Secrecy over the management of oil revenues undermines the rule of law, weakens public trust, and is inconsistent with the Nigerian Constitution 1999 (as amended), the Fiscal Responsibility Act, the Financial Regulations, and Nigeria's obligations under the UN Convention against Corruption.

n

Greater transparency and accountability in the management of Nigeria's oil revenues are essential to combating corruption, protecting public resources, and ensuring that the country's wealth is used to improve the lives and well-being of Nigerians.

n

No date has been fixed for the hearing of the suit, and SERAP's legal action adds to growing calls for greater transparency in the management of Nigeria's oil revenues.

n

Civil society groups have continued to demand increased accountability from the Nigerian National Petroleum Company, arguing that its management of public resources remains subject to the provisions of the Freedom of Information Act despite its commercial status.