The Economic and Financial Crimes Commission has reportedly recovered over ₦9.4 billion, $21.2 million and several landed properties in an ongoing investigation into the alleged diversion of funds released for the rehabilitation and turnaround maintenance of Nigeria’s state-owned refineries.
Using the Central Bank of Nigeria’s official market rate of ₦1,380 to $1 as of Friday, the $21.2 million recovered amounts to about ₦29.26 billion, bringing the total cash recovery so far to approximately ₦38.66 billion.
The recoveries form part of a wide-ranging investigation into the management of billions of dollars approved for the rehabilitation of Nigeria’s moribund refineries in Port Harcourt, Warri and Kaduna.
Sources familiar with the investigation said the probe centres on allegations of criminal conspiracy, breach of trust, diversion of public funds, economic sabotage, abuse of office and money laundering involving officials of the Nigerian National Petroleum Company Limited, its subsidiary, NNPC Engineering and Technical Company Limited, former and serving managing directors of the refineries, and major contractors.
The contractors reportedly under scrutiny include Daewoo Engineering Nigeria Limited, Tecnimont SPA and other subcontractors engaged in the rehabilitation projects.
Between 2021 and 2023, the Federal Government, through NNPCL, awarded contracts worth about $2.79 billion for quick-fix repairs, turnaround maintenance and rehabilitation of the Port Harcourt, Warri and Kaduna refineries.
The contracts reportedly included about $740.7 million for the Kaduna Refining and Petrochemical Company, $492.3 million for the Warri Refining and Petrochemical Company and $1.56 billion for the Port Harcourt Refining Company.
Despite the huge financial commitments, investigators reportedly found no evidence of commensurate improvement in the operational status of the refineries.
According to findings from the probe, substantial portions of the funds were allegedly diverted, misappropriated or fraudulently disbursed by officials entrusted with executing the rehabilitation projects.
Several current and former officials of NNPCL were earlier arrested in connection with the alleged multi-billion-naira fraud linked to the refinery rehabilitation contracts.
Those reportedly questioned or arrested during the investigation included a former Chief Financial Officer of NNPCL, Umar Isa; Managing Director of Warri Refinery, Tunde Bakare; former Managing Director of Port Harcourt Refinery, Ahmed Adamu Dikko; and another former Managing Director of Port Harcourt Refinery, Ibrahim Onoja.
Investigators were said to have scrutinised procurement procedures, reviewed how contract funds were utilised, assessed the level of project execution and examined alleged weaknesses exploited to facilitate the suspected fraud.
Over the past year, the EFCC reportedly interrogated more than 30 top officials of NNPCL in connection with the allegations. More than 50 officials of companies and subcontractors involved in the maintenance deals were also said to have been questioned.
As part of the investigation, the EFCC reportedly sought information from the Corporate Affairs Commission to verify the ownership and authenticity of companies involved in the contracts.
Investigators were also said to have reviewed several bank accounts linked to persons under investigation and requested information from the Central Bank of Nigeria and commercial banks.
The probe allegedly uncovered widespread violations of contractual procedures, questionable payment approvals and manipulation of procurement processes.
Sources said many of the irregularities were allegedly facilitated by officials across different levels of management, with some senior staff accused of approving questionable payments and execution certificates in violation of established financial controls.
One of the officials named in the investigation, Ahmed Dikko, a former Managing Director of the Port Harcourt Refinery, was accused of abusing due process in the execution of the Port Harcourt refinery rehabilitation contract.
Investigators alleged that Dikko approved direct payments to contractors from provisional sum funds, contrary to contractual provisions that required such contractors to be engaged and paid by Tecnimont.
The EFCC reportedly traced ₦983.9 million, $227,030 and three landed properties to him, which investigators said he could not satisfactorily explain.
An interim forfeiture order has reportedly been secured over the properties, while prosecutors are preparing criminal charges.
The investigation also reportedly established a prima facie case against Jimoh Yisawu in connection with the rehabilitation of the Warri refinery.
Yisawu, described as a senior official at the refinery, was accused of approving payments to unqualified third-party contractors, authorising inflated invoices and approving contractual mark-ups amounting to more than $10 million and nearly ₦8 billion.
He was also accused of approving payment vouchers without required cash-back arrangements, allegedly resulting in losses of about $7.47 million and ₦1.89 billion in tax revenue.
Investigators reportedly traced more than ₦1.4 billion and four landed properties to Yisawu, which they said he failed to satisfactorily explain.
The properties have also reportedly been placed under interim forfeiture pending prosecution.
So far, the EFCC has reportedly recovered ₦9.4 billion and $21.2 million, which have been paid into its recovery accounts.
An additional $2.32 million was also reportedly recovered through the Federal Inland Revenue Service.
Investigators further disclosed that a separate case involving alleged revenue fraud amounting to $28.39 million and ₦665 million has been established against the management of the Port Harcourt Refining Company, with efforts said to be ongoing to recover the funds.
The investigation has again raised questions about the effectiveness of Nigeria’s refinery rehabilitation programmes, especially as the refineries have continued to struggle despite repeated financial interventions.
Nigeria has four state-owned refineries, including two in Port Harcourt, which together make up the Port Harcourt Refining Company with a combined installed capacity of 210,000 barrels per day.
The Kaduna Refining and Petrochemical Company has an installed capacity of 110,000 barrels per day, while the Warri Refining and Petrochemical Company has an installed capacity of 125,000 barrels per day.
Together, the four refineries have a combined installed capacity of 445,000 barrels per day.
However, despite several rehabilitation efforts and heavy public spending over the years, the refineries have not operated at optimal capacity for decades.
The Warri Refinery, which reopened in December 2024, reportedly shut down in January 2025 over safety concerns. In May 2025, NNPCL also announced an outage at the Port Harcourt Refinery ahead of scheduled maintenance.
In October 2025, NNPCL announced that it had begun a comprehensive technical and commercial review of its three refinery companies to improve performance and sustainability.
The corporation said the review was aimed at positioning it to serve as supplier of petroleum products of last resort under the Petroleum Industry Act, while ensuring efficient and profitable refinery operations.
Following the continued failure to fully revive the refineries, the Federal Government and NNPCL have continued to seek strategic investors and technical partners to restore the facilities and reduce Nigeria’s dependence on imported petroleum products.
In May, NNPCL announced that it had signed a Memorandum of Understanding with two Chinese companies, Sanjiang Chemical Company Limited and Xinganchen (Fuzhou) Industrial Park Operation and Management Co. Limited, to support the completion, operation and possible expansion of the Port Harcourt and Warri refineries.
The details of the agreement, however, remain unclear.
Investigators said the EFCC probe is still ongoing and that more recoveries and prosecutions are expected as additional evidence emerges.
Efforts to obtain reactions from NNPCL and the officials named in the investigation were reportedly unsuccessful as of the time of filing this report.
The allegations remain subject to investigation and prosecution, and all persons named are presumed innocent until proven guilty by a court of competent jurisdiction.
The post “₦38.66bn Recovered So Far” — EFCC Probes Alleged Diversion Of $2.79bn Refinery Rehabilitation Funds appeared first on TheNigeriaLawyer.
