Tinubu orders EFCC to channel recovered funds, unclaimed dividends to NELFUND – The Witness Nigeria

President Bola Tinubu has directed the transfer of liquid funds recovered by the Economic and Financial Crimes Commission (EFCC), as well as unclaimed dividends and dormant account deposits, to the Nigerian Education Loan Fund (NELFUND) to strengthen the financing of the Federal Government’s student loan scheme.

The decision was approved by the Federal Executive Council (FEC) as the administration moves to create additional and sustainable funding sources for NELFUND amid growing obligations to Nigerian students benefiting from the education loan programme.

Minister of Education, Dr Tunji Alausa, disclosed the development on Wednesday while briefing State House correspondents after the FEC meeting in Abuja.

According to Alausa, President Tinubu specifically directed that funds recovered by the EFCC that are liquid and free from legal encumbrances should be channelled to NELFUND to enable the institution to meet its increasing financial commitments.

The minister said the President’s directive was part of efforts to ensure that the student loan scheme remains financially sustainable as more Nigerian students seek assistance to access tertiary education.

“The President, in his benevolence, has now directed that all funds recovered by the Economic and Financial Crimes Commission be diverted to NELFUND to continue to support its funding,” Alausa said.

He explained that the decision was not limited to EFCC recoveries, as the FEC also approved the use of unclaimed dividends and dormant account funds to strengthen the education loan fund.

“This was also approved by FEC: that all unclaimed dividends from the Capital Market Trust Fund and the Dormant Account Trust Fund should also be directed to NELFUND, so that NELFUND will be financially buoyant to meet its growing obligations today,” he added.

Alausa, however, clarified that the presidential directive does not mean that all assets recovered by the EFCC will automatically be transferred to NELFUND.

He stressed that the directive covers liquid funds and excludes seized properties and recovered assets that remain subject to legal disputes or other encumbrances.

“Note, and the President was very clear, not seized properties, or recovered looted funds, but liquid funds, from the EFCC will now be transferred to NELFUND,” the minister said.

The clarification is important because EFCC recoveries can include cash, bank balances, landed properties, vehicles and other assets recovered during investigations into financial crimes.

Under the new arrangement, only funds that are legally available, unencumbered and not tied up in litigation will be eligible for transfer to NELFUND.

Alausa further said the funds would include monies that are not under legal contention, ensuring that the implementation of the directive does not interfere with ongoing judicial processes.

NELFUND was established to provide financial assistance to eligible Nigerian students in tertiary institutions, with the Tinubu administration positioning the programme as a key intervention to remove financial barriers to higher education.Nigeria economic forum

Since its introduction, the scheme has continued to attract applications from students seeking financial support for their education.

The rising number of beneficiaries has consequently increased the financial obligations of NELFUND, prompting the government to seek alternative and sustainable funding sources