The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against NNPCL, seeking a court order compelling the company to account for approximately ₦5.9 billion allegedly spent on the incorporation, transition and rebranding of the former Nigerian National Petroleum Corporation (NNPC) into the Nigerian National Petroleum Company Limited (NNPCL).
According to SERAP, the sum comprises ₦2.9 billion reportedly paid by NNPC for incorporation expenses from petroleum product proceeds and another ₦2.9 billion charged by the National Petroleum Investment Management Services (NAPIMS) to crude oil revenue for the same purpose.
In the suit marked FHC/ABJ/CS/1248/2026 and filed at the Federal High Court in Abuja, the organisation is asking the court to issue an order of mandamus directing NNPCL to provide a detailed account of how the funds were spent.
SERAP is also requesting a comprehensive reconciliation statement outlining the financial transactions linked to the expenditure, including the identities of contractors involved and details of services rendered during the transition from NNPC to NNPCL.
The organisation further wants NNPCL to disclose the names and official positions of government officials who approved and authorised the expenditure, as well as clarify whether the spending complied with procurement laws and due process requirements.
In its court filings, SERAP argued that there is a strong public interest in understanding how the funds were used, stressing that Nigerians have a right to know whether the expenditure represented value for money and complied with legal and regulatory standards.
The group maintained that transparency regarding the spending is essential, noting that the public should be informed about who approved the payments, who received the funds, and whether all procurement procedures were properly followed.
SERAP also cited concerns reportedly raised by the Senate Committee on Public Accounts, which questioned the expenditure and described it as excessive and deserving of further investigation and legislative scrutiny.
The organisation argued that the alleged failure to account for the funds undermines public trust and violates constitutional provisions promoting transparency, accountability and the proper management of public resources.
The suit further referenced Nigeria’s obligations under international instruments, including the United Nations Convention against Corruption and the African Charter on Human and Peoples’ Rights, which require transparency and accountability in the management of public funds and natural resources.
NNPC was transformed into NNPCL following the enactment of the Petroleum Industry Act 2021, which restructured the national oil company into a commercially oriented limited liability company wholly owned by the Federal Government.
No date has yet been fixed for the hearing of the case.
