The Senate committee reviewing the Nigerian National Petroleum Company Limited’s 2023 audited financial statements has clarified that the disputed ₦210 trillion linked to the company’s accounts has not been declared missing.
Senator Ibrahim Dankwambo, chairman of the committee, said the amount remains unexplained because NNPC Ltd. has yet to provide satisfactory details on two major entries in its financial statements.
“We never said it was missing. It is unaccounted for and unexplained,” Dankwambo told journalists during a press briefing on Thursday.
His clarification follows widespread reports suggesting that the Senate had accused NNPC Ltd. of failing to account for ₦210 trillion in public funds. According to the committee chairman, lawmakers have not found evidence that the money disappeared from the company’s accounts.
Instead, the committee is seeking a clearer explanation of how the figures were calculated, recorded and presented in NNPC Ltd.’s audited financial statements.
How the Senate arrived at the ₦210tn figure
Dankwambo explained that the disputed amount was produced by combining two separate balance sheet entries contained in NNPC Ltd.’s financial records.
The first was a debit entry of approximately ₦103 trillion, while the second was a credit entry of about ₦107 trillion.
“When we merge the ₦103 trillion and ₦107 trillion, that is why we are saying ₦210 trillion,” Dankwambo said. “One is debit, and one is credit. But when the two cannot be explained, we say the total amount cannot be explained.”
The committee is now demanding supporting documents and a detailed breakdown of the transactions behind both entries.
The distinction is important because debit and credit entries do not automatically represent cash that has been lost or stolen. They may reflect liabilities, receivables, expenses or other obligations recorded in a company’s financial statements.
However, lawmakers maintain that NNPC Ltd must provide enough information to explain the size and nature of the entries.
Bala Wunti disputes missing-money claims
Former Group General Manager of the National Petroleum Investment Management Services, Bala Wunti, appeared before the Senate committee to provide further clarification.
Wunti said he reviewed NNPC Ltd.’s 2023 audited financial statements page by page and found no evidence showing that ₦210 trillion was missing.
According to him, the ₦107 trillion represented sundry receivables, which are funds owed to NNPC Ltd. by other companies or parties.
The ₦103 trillion, on the other hand, represented accrued expenses, meaning financial obligations that NNPC Ltd. owed to contractors, suppliers or other parties.
“Receivables are money other people owe you, while accrued expenses are money you owe other people,” Wunti told lawmakers.
He argued that accounting standards require the two figures to be reported separately and that adding them together does not mean NNPC Ltd. lost ₦210 trillion.
Wunti said the misunderstanding may have arisen from the complexity of the national oil company’s operations and accounting structure.
NNPC Ltd. operates as a commercial entity, manages petroleum assets on behalf of the federation and carries out national energy-security responsibilities. These overlapping roles can produce large and complicated entries across different financial records.
However, the Senate committee is expected to determine whether the accounting explanation is sufficient and supported by proper documentation.
Wunti rejects ₦5.8bn incorporation-cost claim
Wunti also disputed reports that NNPC Ltd. spent ₦5.8 billion on its incorporation following the passage of the Petroleum Industry Act.
He said the actual statutory payments made to the Corporate Affairs Commission and the Federal Inland Revenue Service amounted to approximately ₦2.45 billion.
The payments reportedly covered filing fees and stamp duties required to establish NNPC Ltd. as a limited liability company.
“The only money paid was about ₦2.45 billion, and it went directly to government institutions,” Wunti said.
He added that no private company or third party received any part of the payment.
According to Wunti, the higher ₦5.8 billion figure may have resulted from the same transaction being recorded in separate accounting books within the organisation.
This, he said, created the impression that multiple payments had been made when the records may have been referring to a single transaction.
What happens next?
The Senate committee will now compare Wunti’s written explanation with NNPC Ltd.’s 2023 audited financial statements and the documents supporting the ₦103 trillion and ₦107 trillion entries.
If the records fail to resolve the questions raised by lawmakers, the committee may request further clarification from NNPC Ltd., the Office of the Accountant-General of the Federation and the Office of the Auditor-General of the Federation.
Senior officials from the affected institutions could also be invited to appear before the committee for additional questioning.
The investigation is expected to determine whether the controversy resulted from duplicated records, poor financial presentation, inadequate documentation or deeper accounting problems requiring further investigation.
Dankwambo said committee members would study Wunti’s submission alongside the audited accounts before deciding on the next course of action.
The committee could eventually issue recommendations on how NNPC Ltd. should improve its financial reporting, strengthen internal controls and present complex transactions more clearly.
Why the controversy matters
The dispute raises broader questions about transparency and financial accountability at Nigeria’s most important state-owned company.
NNPC Ltd. manages petroleum assets worth trillions of naira and plays a central role in government revenue, energy supply and the wider economy.
Confusion over figures of this size can weaken public confidence, even when there is no evidence that funds have been stolen.
Clearer reporting and stronger cooperation between NNPC Ltd., the Accountant-General’s office and the Auditor-General’s office could reduce similar disputes in the future.
For now, the ₦210 trillion should be described as disputed or unexplained accounting entries rather than confirmed missing funds.
The final position will depend on whether NNPC Ltd. can provide a clear, documented and convincing explanation of the two financial entries under review.
