The Economic and Financial Crimes Commission (EFCC) has detained Umar Isa, a former Chief Financial Officer (CFO) of the Nigerian National Petroleum Company (NNPC) Limited, over an alleged $7.2 billion fraud linked to the rehabilitation of Nigeria’s three state-owned refineries in Kaduna, Warri and Port Harcourt.
Also taken into custody is Jimoh Olasunkanmi, former Managing Director of the Warri Refining and Petrochemical Company, as investigations deepen into the disbursement and utilization of funds allocated for turnaround maintenance projects that failed to yield operational results.
According to EFCC sources, Isa is being questioned over financial irregularities tied to the massive allocation for refinery rehabilitation carried out under his watch.
The commission is probing alleged abuse of office, embezzlement and receipt of kickbacks from contractors who handled various aspects of the refinery projects.
Others reportedly under investigation include Tunde Bakare, current Managing Director of the Warri Refinery; Ahmed Dikko, a former Managing Director of the Port Harcourt Refinery; and his predecessor, Ibrahim Onoja.
The EFCC has yet to issue an official statement, and multiple efforts to reach the commission’s spokesperson, Dele Oyewale, for comment were unsuccessful as of press time.
The detentions come amid rising scrutiny of the NNPC’s financial operations. Last week, the Senate Committee on Public Accounts, chaired by Senator Aliyu Wadada, raised red flags over discrepancies amounting to trillions of naira in the company’s audited financial statements between 2017 and 2023.
The committee issued 11 formal queries to the NNPC finance team following a comprehensive audit review. Lawmakers expressed concern that the findings suggest systemic lapses in accountability across several fiscal years and demanded responses within seven days.
The $7.2 billion in question was allocated under successive federal budgets for the full rehabilitation of Nigeria’s ageing refineries. Despite the large expenditures, none of the facilities has returned to optimal production.
Nigeria continues to rely heavily on imported petroleum products, contributing to persistent pressure on the country’s foreign reserves and fueling inflation in the downstream sector.
Industry analysts have long criticized the opaque handling of refinery turnaround contracts, citing a lack of oversight, political interference and poor technical execution as barriers to progress. The EFCC’s ongoing probe is expected to widen as more officials connected to the projects are invited for questioning.
This development marks one of the most significant anti-corruption moves in the oil and gas sector since the NNPC was officially transitioned to a limited liability company under the Petroleum Industry Act (PIA). It underscores renewed efforts to enforce transparency and restore public confidence in the state oil firm.
The outcome of the investigation could have far-reaching implications for NNPC’s leadership and the government’s refinery revival plans, particularly as Dangote Refinery ramps up production and pressure mounts to reduce dependence on imports.
