ABUJA, Nigeria — The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit at the Federal High Court in Abuja against the Nigerian National Petroleum Company Limited (NNPCL), seeking a court order compelling the oil company to account for approximately N5.9 billion (approximately $3.8 million) allegedly spent on the incorporation, transition, and rebranding of the former Nigerian National Petroleum Corporation (NNPC) into NNPCL.
Okay News reports that the suit, filed by SERAP lawyers Oluwakemi Agunbiade, Kehinde Oyewumi, and Andrew Nwankwo, was disclosed in a statement by the organisation on Sunday, June 15, 2026, exactly one month after SERAP urged President Bola Tinubu to direct an investigation into the expenditure.
SERAP is asking the court to compel NNPCL to provide a detailed reconciliation of the N5.9 billion expenditure, including information on transactions involved, contractors who received the funds, and government officials who approved the spending. The organisation is also seeking clarification on whether the expenditure complied with procurement laws and due-process requirements.
“There is a legitimate public interest in the disclosure of the details sought. The NNPCL has a legal responsibility to explain whether the ₦5.9 billion expenditure represents value for money, constitutes lawful spending of public funds, and complies with applicable due process requirements,” SERAP argued.
The lawsuit stems from concerns raised by the Senate Committee on Public Accounts over the rebranding expenditure. According to details cited by SERAP, NNPC allegedly paid N2.9 billion (approximately $1.9 million) for incorporation expenses from petroleum product proceeds, while the National Petroleum Investment Management Services (NAPIMS) reportedly charged another N2.9 billion to crude oil revenue for the same purpose, bringing the total to approximately N5.9 billion. The Senate committee reportedly described the spending as excessive and unjustifiable, calling for further explanation and legislative scrutiny.
The rebranding exercise followed the enactment of the Petroleum Industry Act (PIA) 2021, which transformed NNPC into NNPCL, a commercially oriented limited liability company wholly owned by the Federal Government.
The lawsuit adds to a growing list of accountability concerns surrounding NNPCL. On March 6, 2026, the Senate Committee on Public Accounts summoned the immediate past management of NNPCL, including former Group Chief Executive Officer Mele Kyari, over alleged financial discrepancies amounting to N210 trillion in the company’s audited financial statements between 2017 and 2023. Lawmakers identified approximately N103 trillion recorded as accrued expenses in NNPCL’s 2022 financial statements, including retention fees, legal fees, and audit fees, without detailed breakdowns.
SERAP recently secured a court victory against the National Assembly after the Federal High Court in Lagos declared unlawful the legislature’s N110 billion (approximately $71 million) expenditure on vehicles and allowances for lawmakers, reinforcing calls for greater transparency in the management of public resources.
