The Economic and Financial Crimes Commission (EFCC) has arrested Umar Isa, former Chief Financial Officer of the Nigerian National Petroleum Company Limited (NNPCL), over an alleged $7.2bn fraud linked to the controversial and repeatedly delayed rehabilitation of Nigeria’s ailing refineries.
Also detained is Jimoh Olasunkanmi, a former Managing Director of the Warri Refinery, as the anti-graft agency deepens its investigation into the financial scandal surrounding the Kaduna, Warri, and Port Harcourt refineries—projects that have incurred billions of naira with little to show in actual output.
Isa, in his capacity as CFO, allegedly oversaw the disbursement of huge funds earmarked for the turnaround maintenance of the refineries.
Alongside him, other key NNPCL officials are being investigated for alleged abuse of office, diversion of public funds, inflation of contracts, and collection of kickbacks from contractors.
Among those under the EFCC’s radar are Tunde Bakare, the current Managing Director of Warri Refinery; Ahmed Dikko, a former Managing Director of Port Harcourt Refinery; and Ibrahim Onoja, also a former MD of the same facility.
The arrests come amid renewed scrutiny of NNPCL’s financial management. Just last week, the Senate Committee on Public Accounts, chaired by Senator Aliyu Wadada, raised the alarm over what it described as “mind-boggling discrepancies” in the corporation’s audited financial statements from 2017 to 2023.
The committee cited multiple red flags involving trillions of naira and promptly issued 11 queries to the NNPCL finance team, demanding a detailed explanation within one week.
Multiple efforts to revive the Kaduna, Warri, and Port Harcourt refineries—originally built between the 1960s and 1980s—have either stalled or failed, often mired in controversy over inflated contracts, phantom rehabilitation exercises, and lack of transparency.
Industry observers argue that the latest scandal underscores the need for stronger fiscal oversight, forensic audits, and a radical clean-up of the oil and gas sector, which remains the lifeline of Africa’s largest economy.
As Nigerians continue to groan under the burden of high fuel prices and poor energy infrastructure, the arrests may offer a glimmer of hope that long-standing impunity in the oil industry is finally being addressed.
But whether it leads to meaningful prosecution and reform remains to be seen.
