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Mele Kyari

Former Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Mele Kyari, has appeared before the Senate Committee on Public Accounts to explain disputed financial entries in the company’s records, including figures totalling N210 trillion.

Kyari appeared before the committee on Tuesday as lawmakers intensified scrutiny of financial transactions and accounting records covering the period between 2017 and 2023.

The investigation follows concerns raised by the Office of the Auditor-General of the Federation over substantial figures recorded in NNPCL’s financial statements.

At the centre of the controversy are approximately N103 trillion recorded as accrued expenses and another N107 trillion listed as sundry receivables.

The combined figures, amounting to N210 trillion, have raised questions among lawmakers about the company’s financial reporting, accountability and the proper classification of its transactions.

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However, Kyari rejected suggestions that the money had been lost or diverted during his tenure, insisting that the disputed figures represented accounting entries rather than missing public funds.

The former NNPCL chief argued that the figures had been misunderstood and that a proper examination of the company’s accounting procedures was necessary to establish their meaning.

He maintained that no money was missing under his leadership and challenged aspects of the explanations provided by some former financial officers of the national oil company.

Kyari also disputed claims concerning the amount allegedly spent on changing the company’s name from the Nigerian National Petroleum Corporation to the Nigerian National Petroleum Company Limited.

His appearance before the Senate committee is part of efforts by lawmakers to obtain explanations from officials responsible for the company’s financial management during the period under investigation.

The committee is expected to examine the relevant financial statements, supporting documents and explanations from officials as it seeks to establish whether the disputed entries were properly accounted for.

The probe has renewed attention on financial transparency within Nigeria’s petroleum industry, particularly given the strategic importance of NNPCL to government revenue, energy security and the national economy.

NNPCL has undergone significant structural and operational changes following the enactment of the Petroleum Industry Act, which transformed the former national oil corporation into a commercial entity.

The Senate’s investigation is expected to provide further clarification on the company’s financial reporting and the issues identified in the audit process.

Kyari’s appearance does not amount to a finding of wrongdoing, as the allegations and disputed accounting entries remain subject to legislative examination.

The committee’s eventual findings could have implications for accountability and financial oversight within the country’s state-owned petroleum industry.

Ihesiulo Grace Amarachi is a Nigerian journalist, writer and media professional serving as the Editor-in-Chief of TheTraffic.NG, a digital news platform covering national and international affairs. Her editorial interests span politics, business, aviation, health, technology, entertainment, sports and social development. She is committed to credible journalism, insightful reporting and compelling storytelling that informs public discourse and keeps readers abreast of important developments in Nigeria, Africa and beyond.