The Economic and Financial Crimes Commission (EFCC) has arrested Umar Isa, a former Chief Financial Officer of the Nigerian National Petroleum Company Limited (NNPCL), over allegations of a $7.2 billion fraud.
The fraud is linked to the failed rehabilitation of the Kaduna, Warri, and Port Harcourt refineries.
Isa was responsible for releasing funds meant for the turnaround maintenance of the three refineries. Investigators believe that these funds may have been mismanaged or diverted.
He is not alone in custody. Jimoh Olasunkanmi, a former Managing Director of Warri Refinery, is also being detained in connection with the case.
Investigation could extend beyond Isa and Olasunkanmi. It includes Tunde Bakare, who once headed the Warri Refinery, and two former Managing Directors of the Port Harcourt Refinery, Ahmed Dikko and Ibrahim Onoja.
All are being investigated for alleged abuse of office, corruption, and accepting kickbacks from contractors who handled major projects for the NNPCL.
Senate Uncovers Financial Irregularities in NNPCL Audit
Last week, the Senate Committee on Public Accounts raised concerns after examining the NNPCL’s audited financial statements for 2017 to 2023.
The committee, chaired by Senator Aliyu Wadada, described the findings as both “mind-boggling and worrisome.” It submitted 11 financial queries to the NNPCL’s finance team and demanded a full response within one week.
Lawmakers said discrepancies involving trillions of naira were discovered, especially in the areas of project funding, contract management, and reporting inconsistencies.
These findings reinforced public suspicion that huge sums were being mismanaged under the guise of refinery maintenance and other national projects.
Tinubu Restructures NNPCL, Sacks Board and Mele Kyari
Reacting to ongoing issues about poor performance and financial mismanagement, President Bola Ahmed Tinubu announced a sweeping reorganisation of the NNPCL on April 2, 2025. He sacked all board members and removed Mele Kyari as the company’s Group Chief Executive Officer.
Kyari had led the oil company since July 7, 2019, and was considered a powerful figure during former President Muhammadu Buhari’s administration. He remained in office even after turning 60 in January 2025, despite public calls for his resignation.
Presidential spokesperson Bayo Onanuga explained the action was taken to improve the company’s efficiency, build investor trust, promote local content, and expand Nigeria’s gas and energy sector.
He described the decision as part of a broader push to restore accountability and boost economic performance.
The president has now appointed Bashir Ojulari as the new Group CEO. Ahmadu Kida takes over as non-executive chairman of the board.
The new board includes Adedapo Segun, Bello Rabiu, Yusuf Usman, Babs Omotowa, Austin Avuru, David Ige, Henry Obih, Lydia Jafiya, and Aminu Ahmed. Many industry watchers believe this new team has a tough job ahead to clean up the NNPCL and rebuild public confidence.
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