The Socio-Economic Rights and Accountability Project (SERAP) has dragged the Nigerian National Petroleum Company Limited (NNPCL) before the Federal High Court in Abuja over the alleged spending of about ₦5.9 billion on the incorporation, transition and rebranding of the former Nigerian National Petroleum Corporation.
According to SERAP, the NNPC reportedly spent ₦2.9 billion from proceeds of petroleum products on incorporation expenses, while another ₦2.9 billion was allegedly charged to crude oil revenue by the National Petroleum Investment Management Services for the same purpose.
In a statement issued on Sunday by its Deputy Director, Kolawole Oluwadare, the organisation said it is seeking a court order compelling the NNPCL to account for the expenditure and provide details of how the funds were used.
The suit, marked FHC/ABJ/CS/1248/2026, was filed by SERAP’s lawyers, Oluwakemi Agunbiade, Kehinde Oyewumi and Andrew Nwankwo.
Among its demands, SERAP is asking the court to compel the oil company to provide a reconciliation statement showing all transactions related to the ₦5.9 billion expenditure, identify the contractors involved and explain how the funds were utilised during the transition from NNPC to NNPCL.
The organisation also wants the names and positions of government officials who approved the release of the funds to be disclosed, as well as clarification on whether the spending complied with procurement laws and due process requirements.
SERAP noted that the Senate Committee on Public Accounts had reportedly questioned the expenditure, describing it as excessive and deserving of further investigation and legislative scrutiny.
According to the rights group, Nigerians have a right to know how public funds were spent and whether the amount represented value for money.
“The NNPCL has a legal responsibility to explain whether the ₦5.9 billion expenditure constitutes lawful spending of public funds and whether due process was followed,” SERAP stated.
Read Also:
NNPC Foundation Donates Advanced MRI Machine to Orthopaedic Hospital in Kano
It argued that transparency regarding the expenditure is necessary to enable citizens assess whether the spending was properly authorised and carried out in accordance with the law.
SERAP further maintained that the failure to account for the money reflects broader concerns about accountability and transparency within the national oil company.
The organisation recalled that the transformation of NNPC into NNPCL was carried out under the provisions of the Petroleum Industry Act 2021, which converted the corporation into a commercially oriented limited liability company wholly owned by the Federal Government.
It also cited provisions of the Nigerian Constitution and international anti-corruption agreements, including the United Nations Convention against Corruption and the African Charter on Human and Peoples’ Rights, in support of its case.
No date has been fixed for the hearing of the suit.
