Akintunde Sawyerr: Discrepancy allegation has undermined public trust in NELFund

Akintunde Sawyerr, managing director of the Nigerian Education Loan Fund (NELFund), says a corruption allegation against the scheme has affected its public perception.

BACKGROUND

There have been claims of mismanagement of funds earmarked for disbursement to students.

A report had also claimed that 51 tertiary institutions were involved in illegal deductions and exploitation related to the scheme.

Last Thursday, the Independent Corrupt Practices and Other Related Offences Commission (ICPC) said it has commenced an investigation into alleged discrepancies in the disbursement of the loan.

Demola Bakare, ICPC spokesperson, said the report prompted the investigation.

Later the same day, the commission retracted its earlier statement, clarifying that there were no discrepancies in the student loan disbursements by the scheme.

‘DAMAGE HAS BEEN DONE’

Speaking on Wednesday when he appeared before the house of representatives committee on student loans, Sawyerr said the scheme runs a transparent process in the disbursement to beneficiaries.

“We, as the NELFund, were caught up in that release by the ICPC, which indicated that they were of the opinion that funds had been diverted by the Nigerian Education Loan Fund,” he said.

“We immediately reacted to that report because we recognised the damage. Even though we knew it was unfounded, we recognised the damage that it might do to public confidence in a scheme where there was already a great deal of scepticism.

“Our reaction led to the ICPC having a second look at their statement, and within a matter of hours, they retracted the statement that suggested that the Nigerian Education Loan Fund might be diverting funds.

“They did not retract their assertion about the irregularities in the educational system and in the institutions, but they retracted wholeheartedly their allegation that funds have been diverted.

“I don’t think that has ever happened in Nigeria, where a security agency, within hours, reverses itself on a statement that was made.

“Nevertheless, a great deal of damage was done because, as you know, honourable members, once news is out there, you can retract all you like.

“But it takes on a life of its own, and a lot of confidence has been lost in our institution, and it is sad for the institution of NELFund and the country of Nigeria.

“We have worked very hard to put out the narrative that actually the new statement by the ICPC vindicates NELFund and establishes the fact that no funds have been diverted.”

Ifeoluwa Ehindero, chairman of the committee, said lawmakers have been inundated with several reports of funds diversion in the scheme, noting that they needed explanations.