Lawyer Criticizes Diversion Of N50 Billion Recovered By EFCC For Student Loan Scheme
A legal practitioner, Mr. Nnaemeka Ejiofor, has raised concerns over the decision to allocate N50 billion recovered by the Economic and Financial Crimes Commission (EFCC) to the Nigerian Education Loan Fund (NELFUND) student loan scheme.
Speaking to the Nigerian Tribune, Ejiofor argued that the EFCC lacks the legal authority to donate recovered funds to NELFUND or any other entity. He likened this action to the Central Bank of Nigeria (CBN) engaging in activities beyond its legal scope.
“Every recovered loot was originally meant for a specific project,” Ejiofor explained. “Such recoveries should be redirected back to the project they were stolen from to ensure its completion or satisfaction. If the project has already been fulfilled and there is excess, the funds should be transferred to the Consolidated Revenue Account (CRA) or the Excess Crude Account for savings.”
He further emphasized that the Act establishing the EFCC does not grant the agency the power to donate, loan, or grant money, warning that such actions could constitute misappropriation of funds. Ejiofor insisted that all recovered funds should be deposited into the appropriate federal, state, or local government accounts, depending on the source of the funds.
“We have seen cases where the EFCC, a federal agency, recovers money meant for local governments but deposits it into federal accounts or, even worse, donates it elsewhere. This is a serious violation of the law,” he added.
In response to media reports on August 14, 2024, suggesting that the EFCC donated N50 billion to NELFUND, the anti-graft agency denied the claims. The EFCC clarified that the funds in question were not donations but rather part of the recovered proceeds of crime that had been remitted to the government.
Mr. Dele Oyewale, Head of Media and Publicity for the EFCC, explained that President Bola Ahmed Tinubu, as part of his social intervention policies, decided to allocate the recovered funds to the student loan scheme. Oyewale emphasized that it is not the role of the EFCC to decide how recovered funds are used but that the student loan initiative is a positive step towards reducing youth involvement in criminal activities.
The EFCC also assured the public that it would monitor the use of the funds to ensure transparency and the successful implementation of the student loan program. This assurance was reiterated by the EFCC Chairman, Ola Olukoyde, during a visit by the NELFUND Managing Director and CEO, Mr. Akintunde Sawyerr, on August 13, 2024.
