The Office of the Auditor-General of the Federation (OAuGF) has raised serious concerns over more than $51 million in contractor payments made by the Nigerian National Petroleum Company (NNPC) Limited under circumstances described as “questionable, insufficiently documented, and inconsistent with established financial regulations.”

In a recently issued audit review, the Auditor-General reported that multiple disbursements—spanning various upstream and downstream projects—were either not backed by adequate documentation, not supported by clear procurement records, or executed without evidence of completed deliverables. The report notes that in several instances, contractors received substantial payments despite the absence of completion certificates, verified milestones, or required approvals.

According to the audit findings, the flagged transactions include:

• Payments issued without proof of contract performance or physical verification
• Disbursements made outside approved procurement channels
• Incomplete or missing supporting documents, including invoices, schedules, and work certifications
• Significant inconsistencies between approved contract values and actual amounts paid

The Auditor-General emphasized that these irregularities pose “material risks to transparency, value for money, and the integrity of public sector financial management,” urging urgent remedial action. The OAuGF also called for strengthened internal controls, enhanced procurement oversight, and immediate recovery efforts where overpayments or unsupported expenditures are identified.

In response, stakeholders have begun calling on NNPC Limited and the Federal Government to provide clarity, ensure accountability, and implement corrective measures to safeguard public funds. Civil society groups and transparency advocates have also requested the publication of all contractor names, project descriptions, and supporting documentation related to the questioned expenditures.

The Auditor-General’s report will be submitted to the National Assembly’s Public Accounts Committees for further investigation, deliberation, and potential enforcement actions.

About the Office of the Auditor-General of the Federation

The OAuGF is Nigeria’s supreme audit institution, mandated to ensure accountability, transparency, and sound financial practices across federal ministries, departments, and agencies.

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