The National Association of Nigerian Students (NANS), has called on President Bola Tinubu to order a full-scale probe and publish the names of all 51 institutions indicted in the alleged diversion of funds from the Nigeria Education Loan Fund (NELFUND).
Displaying banners on Monday with inscriptions such as “Diversion of Student Loan Funds” and “President Tinubu Should Sanction Banks, Institutions Tampering with Students Loan,” the protesters demanded accountability from both public institutions and financial agencies involved in the scheme.
Speaking during the demonstration where members of the association barricaded the Lagos-Ibadan Expressway in protest on Monday, the NANS National Vice President, Inter-Campus and Gender Affairs, Akinbodunse Felicia, and the NANS Chairman, Ogun State, Abiola Gabriel, condemned what they described as “unethical practices” within NELFUND operations.
“As a student body, we have closely monitored the disbursement of the loan to applicants. At the outset, NANS got positive feedback from beneficiaries.
“However, we began to receive disturbing reports of unethical practices by some institutions — including cases where approved loans were diverted or not communicated to the rightful student beneficiaries,” the statement from the association read.
The students said their confidence in the programme was severely shaken following reports that the Independent Corrupt Practices and Other Related Offences Commission (ICPC) had commenced a probe into the loan disbursement process.
They said the ICPC spokesperson, Demola Bakare, had said preliminary findings indicated that 51 tertiary institutions had made unauthorised deductions ranging from N3,500 to N30,000 from institutional fees covered by NELFUND loans.
They also said that the probe uncovered wide gaps in disbursement records.
“While the Federal Government reportedly allocated N100 billion, only N28.8 billion reached the students. The remaining N71.2 billion remains unaccounted for,” they stated.
NANS, therefore, urged the President to take decisive action.
“If N71.2 billion out of N100 billion cannot be accounted for, that is a huge and stark graft that must be tackled. We demand that the Presidency should take it upon itself to launch a clinical probe into NELFUND since its inception,” the students declared.
They further demanded that anti-graft agencies, including the EFCC and ICPC, arrest and prosecute school officials implicated in the scandal, and called for sanctions against banks allegedly colluding with institutions to defraud students.
“We demand that the ICPC should publish the names of the 51 tertiary institutions involved in the unauthorised deductions. These institutions are sabotaging efforts put in place to ameliorate the financial situation of Nigerian students,” the NANS leadership insisted.
While the protest caused a temporary disruption of vehicular movement, NANS clarified that their intent was not to inconvenience commuters but to draw national attention to what they termed “a national disaster and international embarrassment”.
“The President should not sit idly while the milk formula of the baby his administration birthed is being gulped down by the wet nurses and custodians he appointed,” they said.
The students vowed to continue nationwide mobilisation until justice was served.
Meanwhile, NELFUND had denied allegations that it disbursed loans to graduates or ineligible applicants.
It stated that mechanisms were in place to prevent fraud and ensure only verified students benefit from the scheme.
Established under the Student Loans (Access to Higher Education) Act, 2024, NELFUND provides interest-free loans to Nigerian students in public tertiary institutions.
