By Opeyemi Adelakun
The Socio-Economic Rights and Accountability Project (SERAP) has urged President Bola Ahmed Tinubu to order an investigation into alleged financial irregularities involving more than N94.4 billion in petroleum-sector funds.
SERAP said the funds were reportedly diverted, unremitted, unaccounted for or irregularly spent by the Midstream and Downstream Gas Infrastructure Fund (MDGIF) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The organisation made the demand in a letter dated October 3, 2026, signed by its Deputy Director, Kolawole Oluwadare, and addressed to the President.
According to SERAP, the allegations were contained in the 2024 Annual Report of the Auditor-General of the Federation, Volume 2, published on August 7, 2026.
The group called on Tinubu to direct relevant anti-corruption agencies to investigate the findings, recover any public funds found to have been misappropriated and prosecute those found culpable where sufficient evidence exists.
SERAP also asked the President to direct the MDGIF to publish its audited financial statements for 2022, 2023 and 2024 and submit them to the Public Accounts Committees of the National Assembly.
The organisation said the audit findings raised serious questions about the management of petroleum revenues and gas-flaring penalties.
Among the specific issues highlighted by SERAP was an alleged failure by the MDGIF to remit N26.549 billion in revenue from petroleum-product sales between January 2022 and December 2024.
It said the Auditor-General expressed concern that the money might have been diverted and recommended its recovery and remittance to the Treasury.
SERAP further alleged that N12.480 billion in gas-flaring penalties for 2023 was not remitted and reported as required.
It also cited an alleged N38.610 billion in gas-flaring penalties collected by NUPRC but reportedly not remitted to the MDGIF.
According to the organisation, the Auditor-General warned that failure to remit such funds could result in shortages of money required for environmental remediation and potentially contribute to crises arising from unaddressed environmental hazards.
SERAP also alleged that the MDGIF paid N3.518 billion to a consultant for the recovery of gas-flaring penalties without presidential approval, adding that the Auditor-General found no evidence of due process or due diligence in the engagement.
Other expenditures cited by the organisation included N261.852 million allegedly paid to transaction advisers without evidence of work performed and another N65.8 million reportedly spent on transaction advisers without due process.
SERAP said the alleged financial lapses pointed to broader weaknesses in financial controls within the petroleum sector.
It urged the relevant authorities to publish details of the affected transactions, including amounts due, collected, remitted and recovered, dates of transactions, responsible institutions or officials and the accounts into which the funds were paid.
The group also said the publication of audited financial statements was necessary to strengthen legislative oversight and public scrutiny of MDGIF’s finances.
SERAP gave the government seven days to respond to its demands, warning that it would consider legal action and other lawful measures if the requested steps were not taken.
The organisation said its demands were grounded in Nigeria’s constitutional obligations on accountability and anti-corruption, as well as the country’s commitments under international and African anti-corruption conventions.
SERAP stressed that the allegations required investigation and should not be treated as proof of wrongdoing until the appropriate authorities establish responsibility based on evidence.
It said accountability was particularly important because some of the funds involved included gas-flaring penalties intended, among other purposes, to support environmental remediation and protect affected communities.
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