Former Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, has denied allegations that ₦210 trillion went missing from the company’s accounts, insisting that the controversial figures arose from accounting and bookkeeping entries rather than any diversion or loss of funds.
Kyari made the clarification on Tuesday when he appeared before the Senate Committee investigating NNPC’s audited financial statements for 2017 to 2023, where he also defended the ₦2.99 billion expenditure on the incorporation and registration of NNPC Limited.
His appearance came after several months of controversy over his failure to honour previous invitations by the committee, including a June 10, 2026 sitting, which he had said he could not attend because of medical and family-related circumstances.
At Tuesday’s sitting, the former NNPC chief executive apologised to the lawmakers, explaining that his absence was unavoidable because he was medically indisposed.
He appeared with his legal team led by Senior Advocate of Nigeria, Professor Sam Erugo, and told the committee that he had studied the report presented to him and adopted the explanations earlier provided by former Chief Financial Officers and other NNPC officials.
However, he identified two areas requiring his personal clarification.
On the ₦210 trillion controversy, Kyari said the figures had been misunderstood and did not represent missing money, maintaining that the entries were accounting issues that needed proper interpretation and reconciliation.
“There is the issue of ₦210 trillion that is misconstrued in the reports to have been lost. I have confirmed this moment that nothing is lost. It is simply not possible under my care, under my leadership, for that to happen,” he told the committee.
He added that his written submission contained explanations of the transactions and urged the lawmakers to examine the figures within their proper accounting context.
Kyari also addressed the ₦2.99 billion expenditure associated with the incorporation of NNPC Limited, explaining that the amount represented statutory payments made to the Federal Inland Revenue Service and the Corporate Affairs Commission.
According to him, the disagreement arose over which entity was legally responsible for bearing the incorporation expenses under the Petroleum Industry Act (PIA).
He explained that although NNPC made the payments on behalf of the Federation, the expenditure was subsequently charged to the Federation’s revenue account because the PIA provided that the owners of the company were responsible for its incorporation.
He maintained that the transaction was an issue of accounting classification and responsibility for payment, not an attempt to divert public funds.
The former GCEO also dismissed allegations that ₦5 billion was paid to secure the company’s name, insisting that NNPC Limited was named through provisions of the Petroleum Industry Act by the National Assembly.
He said there was consequently no need to pay any individual or organisation to secure the name of the company.
Kyari, however, apologised if the relevant financial descriptions were not adequately captured in the auditors’ reports.
Defending his administration’s record, the former NNPC boss said his tenure introduced a transparency and accountability framework that led to the publication of the company’s financial statements for the first time in its 43-year history.
He said the decision to make the company’s financial records public was deliberate, despite the possibility of attracting criticism and increased scrutiny.
According to him, the publication of financial statements from 2018 onwards exposed the company to public examination, generated useful recommendations and helped strengthen its operations.
“We knew the danger of doing this. Disclosure causes issues, it produces scrutiny and comment, but it also worked to our advantage,” he said.
Kyari further defended his administration’s role in implementing the Federal Government’s petroleum sector reforms, including the transition towards a market-based downstream industry, the implementation of the subsidy regime and efforts to attract investments into the oil and gas sector.
He also cited progress in major gas projects and initiatives aimed at deepening the domestic petroleum industry.
While acknowledging that nobody was flawless, he insisted that he had acted in the country’s interest throughout his tenure and had not deliberately engaged in wrongdoing.
Responding, the committee chairman, Senator Ibrahim Dankwanbo, said Kyari’s explanations would be considered alongside documents and submissions already received from other former NNPC executives.
He disclosed that the committee had identified 23 issues in the course of its investigation, although only one or two required specific explanations from the former GCEO.
Dankwanbo said copies of the submissions would be circulated among committee members for detailed examination, adding that Kyari and other former officials could be invited again if further clarification became necessary.
He also disclosed that the Office of the Auditor-General of the Federation would be invited to provide professional guidance on the disputed financial entries and assist the committee in determining the appropriate course of action.
Explaining the figures under investigation, the committee chairman referred to two major entries of ₦103 trillion and ₦107 trillion appearing on opposite sides of the balance sheet.
He suggested that while the figures amounted to ₦210 trillion when added together, their accounting interpretation required reconciliation rather than an assumption that the entire amount represented a financial loss.
He nevertheless cautioned that the committee would not draw conclusions until the figures had been properly examined.
“We will look at the figures, we will interrogate the figures. It is not over. We will sit together, all members will be circulated with the copies of the responses and we will take the investigation going forward,” he said.
At the conclusion of the session, the committee chairman sought the approval of members to discharge Kyari pending consideration of his written submission and supporting documents.
The request was unanimously adopted through a voice vote, allowing the former NNPC chief executive to leave the sitting.
However, the committee made it clear that his discharge did not amount to an exoneration or the termination of the investigation.
The Senate panel is expected to continue its examination of NNPC’s audited financial statements covering 2017 to 2023, as well as issues raised in the Auditor-General’s Annual Report for 2024.
Its eventual findings will depend on the examination of the financial records, reconciliation of the disputed entries and further explanations from the Office of the Auditor-General of the Federation.
