The Socio Economic Rights and Accountability Project (SERAP) has called on President Bola Tinubu to investigate more than ₦94.4 billion in alleged financial irregularities involving the Midstream and Downstream Gas Infrastructure Fund (MDGIF) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), demanding the recovery of any missing funds and prosecution of those found responsible.
The organisation also wants the government to publish details of the transactions, identify the officials and institutions involved, and account for revenues collected from petroleum product sales, natural gas and gas flaring penalties.
SERAP made the demands in a letter dated October 3, 2026, signed by its Deputy Director, Kolawole Oluwadare, and addressed to Tinubu. The letter was made available to PUNCH Online on Sunday.
The group said the allegations were documented in the Auditor General of the Federation’s 2024 Annual Report, Volume 2, published on August 7, 2026. According to SERAP, the report examined activities covering January to December 2023 and records extending to December 31, 2024.
It gave the President seven days to act, warning that it would consider legal action and other lawful measures if the requests were not addressed.
SERAP urged Tinubu to direct the relevant anti corruption agencies to investigate the reported irregularities, recover the affected funds and ensure that anyone implicated is prosecuted where sufficient admissible evidence is established.
Among the issues highlighted by SERAP is the reported failure of the MDGIF to remit ₦26.549 billion generated from petroleum product sales between January 1, 2022, and December 31, 2024.
The organisation said the Auditor General raised concerns that the funds might have been diverted and recommended their recovery and payment into the Treasury.
The MDGIF was also accused of failing to remit and report ₦12.480 billion in gas flaring penalties for 2023. SERAP said the audit report questioned the failure to collect and promptly transfer net revenue generated by NUPRC from gas flaring into the MDGIF account, as required under Section 52(8) of the Petroleum Industry Act 2021.
According to the organisation, the Auditor General warned that withholding such revenues could leave insufficient funds for environmental remediation and increase the risk of civil unrest where environmental hazards remain unaddressed.
SERAP further alleged that NUPRC failed to remit ₦38.610 billion in gas flaring penalties collected and due to the MDGIF.
The organisation said the reported failure raised similar concerns about the availability of funds for environmental restoration and the protection of communities affected by pollution.
Another finding cited by SERAP concerns ₦12.940 billion in revenue from natural gas sales in 2024, which the MDGIF reportedly failed to collect and account for. The Auditor General expressed concern that the money might have been diverted and recommended its recovery and remittance to the Treasury.
The audit findings also identified consultancy expenditures that SERAP said lacked adequate supporting evidence or required approvals.
The organisation reported that the MDGIF spent ₦3.518 billion on a consultant engaged to recover gas flaring penalties without presidential approval. It cited the Auditor General’s finding that there was no evidence of due process or due diligence in the appointment, alongside concerns that the funds might have been diverted.
The MDGIF also reportedly paid ₦261.852 million to Transaction Advisors, but the Auditor General found no evidence that the contracted work had been carried out.
A separate payment of ₦65.8 million to Transaction Advisors in August 2024 was also questioned over alleged failure to follow due process. SERAP said the Auditor General considered the transaction a possible violation of public procurement procedures and recommended that the fund’s Executive Director account for the expenditure.
The organisation argued that the findings point to weaknesses in financial oversight, including inadequate documentation, payments without evidence of completed work and consultancy arrangements that allegedly failed to comply with required approval and procurement procedures.
Beyond investigating individual transactions, SERAP called on Tinubu to direct the MDGIF to submit and publish its audited financial statements for 2022, 2023 and 2024.
It also wants the statements forwarded promptly to the Public Accounts Committees of the National Assembly, as recommended by the Auditor General.
The group said the MDGIF and NUPRC should publish a detailed schedule showing the amounts due, collected, remitted and recovered, together with transaction dates, the responsible institutions or officials and the accounts into which the funds were paid.
SERAP maintained that public disclosure would help establish the status of the funds and enable legislators and citizens to scrutinise the management of petroleum revenues.
It also argued that Tinubu’s position as President and Minister of Petroleum Resources placed particular responsibility on him to ensure effective oversight of the sector.
The organisation said the failure to account for petroleum product revenues, natural gas sales and gas flaring penalties could undermine public confidence and put money intended for lawful public purposes at risk.
It added that the absence of audited financial statements for three consecutive years had weakened legislative oversight and public scrutiny of the MDGIF’s finances.
SERAP said its requests were grounded in Nigeria’s constitutional responsibilities and international anti corruption commitments.
It cited Section 13 of the 1999 Constitution, as amended, which requires government institutions to observe and apply the provisions of Chapter II. It also referenced Section 15(5), which directs the state to abolish corrupt practices and abuse of power, and Section 14, which identifies the security and welfare of the people as the primary purpose of government.
The organisation further cited Nigeria’s obligations under the United Nations Convention against Corruption and the African Union Convention on Preventing and Combating Corruption.
According to SERAP, the UN convention requires transparent public procurement and financial management systems, greater openness in public administration and measures that support civil society participation in preventing and combating corruption.
The group stressed that accountability was particularly important because some of the funds under scrutiny were gas flaring penalties intended to support environmental remediation and protect affected communities.
SERAP said it expected the requested measures to be taken within seven days of the receipt or publication of its letter. If the government failed to respond within that period, it said it would consider legal action to compel Tinubu, the MDGIF, NUPRC and other relevant authorities to address the findings.
The allegations have not, by themselves, established that any individual committed a crime. SERAP is seeking an investigation to determine what happened to the funds, establish responsibility where wrongdoing is proven, and ensure that any money found to have been improperly withheld or spent is recovered.